Altria Group (NYSE:MO) Shares Gap Up After Earnings Beat

Key Points

• Altria's shares gapped up after the company reported a quarterly $1.32 EPS (vs. $1.25 expected) and revenue of $4.76B (vs. $4.58B), and it set FY2026 guidance at 5.560–5.72 EPS.
• The company declared a quarterly dividend of $1.06 per share (annualized $4.24), implying a 5.8% yield and a dividend payout ratio of 103.16%.
• Analysts are mixed — MarketBeat shows an average rating of Hold with a consensus target of $65.88 — and insider activity included SVP Charles Whitaker selling 27,908 shares while institutional ownership is about 57.4%.

Altria Group, Inc. (NYSE:MO - Get Free Report)'s stock price gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $68.20, but opened at $73.85. Altria Group shares last traded at $72.8210, with a volume of 3,410,833 shares trading hands.

The company reported $1.32 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.25 by $0.07. Altria Group had a net margin of 29.84% and a negative return on equity of 287.61%. The business had revenue of $4.76 billion during the quarter, compared to the consensus estimate of $4.58 billion. During the same quarter last year, the company posted $1.23 earnings per share. The firm's quarterly revenue was up 5.3% compared to the same quarter last year. Altria Group has set its FY 2026 guidance at 5.560-5.72 EPS.

Altria Group Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, April 30th. Investors of record on Wednesday, March 25th will be issued a dividend of $1.06 per share. This represents a $4.24 dividend on an annualized basis and a yield of 5.8%. The ex-dividend date is Wednesday, March 25th. Altria Group's dividend payout ratio (DPR) is 103.16%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on MO shares. Stifel Nicolaus reduced their target price on shares of Altria Group from $72.00 to $68.00 and set a "buy" rating for the company in a research note on Friday, January 30th. Barclays lifted their target price on shares of Altria Group from $57.00 to $63.00 and gave the stock an "underweight" rating in a research note on Monday, February 23rd. Jefferies Financial Group lifted their target price on shares of Altria Group from $47.00 to $50.00 and gave the stock an "underperform" rating in a research note on Wednesday, March 4th. Bank of America lifted their target price on shares of Altria Group from $72.00 to $73.00 and gave the stock a "buy" rating in a research note on Friday, April 10th. Finally, Citigroup lifted their target price on shares of Altria Group from $57.00 to $65.00 and gave the stock a "neutral" rating in a research note on Monday, February 9th. Five investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $65.88.

Insider Transactions at Altria Group

In other Altria Group news, SVP Charles N. Whitaker sold 27,908 shares of Altria Group stock in a transaction that occurred on Thursday, March 5th. The shares were sold at an average price of $67.57, for a total transaction of $1,885,743.56. Following the completion of the sale, the senior vice president directly owned 180,869 shares in the company, valued at $12,221,318.33. The trade was a 13.37% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.10% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Altria Group

Hedge funds have recently bought and sold shares of the stock. Darwin Wealth Management LLC bought a new stake in Altria Group during the second quarter valued at approximately $27,000. Navalign LLC purchased a new position in shares of Altria Group during the fourth quarter worth approximately $28,000. Creative Capital Management Investments LLC purchased a new position in shares of Altria Group during the fourth quarter worth approximately $29,000. Hughes Financial Services LLC raised its stake in shares of Altria Group by 62.9% during the fourth quarter. Hughes Financial Services LLC now owns 510 shares of the company's stock worth $29,000 after acquiring an additional 197 shares in the last quarter. Finally, Miller Capital Partners Inc. purchased a new position in shares of Altria Group during the fourth quarter worth approximately $29,000. 57.41% of the stock is currently owned by institutional investors.

Altria Group Price Performance

The stock has a market capitalization of $122.57 billion, a PE ratio of 17.86, a P/E/G ratio of 2.64 and a beta of 0.41. The firm's 50 day simple moving average is $66.61 and its 200 day simple moving average is $62.61.

Altria Group Company Profile

Altria Group, Inc NYSE: MO is a U.S.-based consumer goods company whose principal business is the manufacture and sale of tobacco products. Headquartered in Richmond, Virginia, the company's operations are focused primarily on the U.S. market and include the production, marketing and distribution of cigarettes, smokeless tobacco and cigars. Its flagship cigarette franchise in the United States is sold through its operating subsidiaries and is among the most recognizable cigarette brands in the country.

Altria's principal operating businesses include Philip Morris USA (cigarettes), U.S.

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