RICHMOND, Va. - Altria Group , Inc. (NYSE: NYSE:MO) has raised its quarterly dividend by 4.1%, announcing a new payout of $1.02 per share compared to the previous $0.98 per share. The updated dividend will be distributed on October 10, 2024, to shareholders of record as of September 16, 2024, with the ex-dividend date also set for September 16, 2024.
The company's annualized dividend rate now stands at $4.08 per share. This dividend increase aims to achieve a dividend yield of 7.9%, based on Altria's closing stock price of $51.81 on August 21, 2024. The move is part of Altria's progressive dividend strategy, which seeks to grow dividend per share by mid-single digits annually through 2028.
This dividend hike represents the 59th increase in the past 55 years, underscoring Altria's consistent approach to shareholder returns. The information for this announcement is based on a press release statement from Altria Group, Inc.
In other recent news, Altria Group, Inc. reported a stable adjusted diluted earnings per share (EPS) for the second quarter of 2024 and a slight decline for the first half of the year. The company also highlighted growth in the oral tobacco category and the expansion of its smoke-free portfolio with new products such as on! PLUS. Despite challenges from the illicit e-vapor market, Altria adjusted its full-year 2024 guidance for adjusted diluted EPS to a range of $5.07 to $5.15. Altria's smoke-free portfolio, including NJOY and on! brands, showed growth and market share gains. The company remains focused on maintaining a strong balance sheet and an investment-grade credit rating. Altria expects adjusted diluted EPS for the full year to be between $5.07 and $5.15 and is confident in the growth prospects of its smoke-free portfolio. Notably, NJOY's retail share and volume increased in Q2, with marketing orders from the FDA for menthol e-vapor products. In the face of challenges, Altria is advocating for a total enforcement approach to counter illicit vape products. These are the recent developments in Altria Group's business activities.
InvestingPro Insights
Altria Group, Inc. (NYSE: MO) continues to demonstrate its commitment to rewarding shareholders with its recent dividend increase. The company's progressive dividend strategy is backed by a strong financial foundation, as evidenced by the latest metrics and InvestingPro Tips.
InvestingPro data shows that Altria holds an impressive market capitalization of $88.09 billion and maintains robust gross profit margins, recorded at 69.9% for the last twelve months as of Q2 2024. This financial stability is further highlighted by the company's operating income margin, which stands at 58.2% for the same period, signaling efficient management and profitability.
Moreover, Altria's commitment to shareholder value is reflected in two key InvestingPro Tips: Altria has a perfect Piotroski Score of 9, indicating a healthy financial state, and the management has been aggressively buying back shares, suggesting confidence in the company's future performance. Additionally, Altria has raised its dividend for 14 consecutive years, reinforcing its reputation as a reliable dividend payer.
Investors interested in Altria's dividend prospects and financial health can find a wealth of information on InvestingPro, which currently lists several additional tips for a comprehensive investment analysis. The platform also indicates that Altria's dividend yield as of the latest data stands at 7.57%, aligning with the company's target yield mentioned in the dividend increase announcement.
For those looking to delve deeper into Altria's financials and investment potential, more InvestingPro Tips can be accessed through the dedicated InvestingPro page for Altria at https://www.investing.com/pro/MO.
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