Bank of America Corp DE Invests $1.10 Billion in Altria Group, Inc. $MO

Key Points

• Bank of America acquired 15.35 million Altria shares worth approximately $1.10 billion in the second quarter, giving it a 0.92% stake. Institutional investors collectively own 57.41% of Altria.
• Altria raised its quarterly dividend to $1.11 per share from $1.06, representing a $4.44 annualized payout and a 6.3% yield.
• Altria’s latest quarterly revenue rose 1.2% year over year to $5.36 billion, but EPS of $1.48 missed estimates by $0.02. Analysts maintain a consensus “Hold” rating with an average price target of $70.11.

Bank of America Corp DE acquired a new position in shares of Altria Group, Inc. (NYSE:MO - Free Report) in the second quarter, according to its most recent filing with the Securities & Exchange Commission. The firm acquired 15,351,862 shares of the company's stock, valued at approximately $1,104,566,000. Bank of America Corp DE owned approximately 0.92% of Altria Group as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also bought and sold shares of the company. Illinois Municipal Retirement Fund boosted its holdings in shares of Altria Group by 7.1% in the 4th quarter. Illinois Municipal Retirement Fund now owns 668,243 shares of the company's stock valued at $38,531,000 after buying an additional 44,267 shares during the last quarter. Procyon Advisors LLC raised its position in Altria Group by 59.3% during the first quarter. Procyon Advisors LLC now owns 38,926 shares of the company's stock worth $2,569,000 after acquiring an additional 14,490 shares in the last quarter. North Dakota State Investment Board bought a new stake in Altria Group during the fourth quarter worth $3,336,000. Nomura Asset Management Co. Ltd. lifted its stake in Altria Group by 2.4% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 665,297 shares of the company's stock valued at $38,361,000 after acquiring an additional 15,728 shares during the last quarter. Finally, Stephens Inc. AR lifted its stake in Altria Group by 8.6% in the first quarter. Stephens Inc. AR now owns 266,504 shares of the company's stock valued at $17,696,000 after acquiring an additional 21,124 shares during the last quarter. Institutional investors and hedge funds own 57.41% of the company's stock.

Insider Transactions at Altria Group

In other news, Director Kathryn McQuade acquired 1,500 shares of the firm's stock in a transaction on Wednesday, September 9th. The shares were purchased at an average cost of $67.62 per share, with a total value of $101,430.00. Following the acquisition, the director directly owned 114,929 shares in the company, valued at $7,771,498.98. This represents a 1.32% increase in their position. The purchase was disclosed in a document filed with the SEC, which is accessible through this link. 0.10% of the stock is owned by company insiders.

Altria Group Stock Performance

Shares of MO opened at $70.69 on Tuesday. The firm has a market cap of $118.03 billion, a P/E ratio of 14.91, a price-to-earnings-growth ratio of 2.45 and a beta of 0.45. Altria Group, Inc. has a 52 week low of $54.70 and a 52 week high of $77.06. The firm's 50-day simple moving average is $69.38 and its 200 day simple moving average is $69.12.

Altria Group (NYSE:MO - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported $1.48 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.50 by ($0.02). Altria Group had a negative return on equity of 315.29% and a net margin of 33.99%.The company had revenue of $5.36 billion for the quarter, compared to analyst estimates of $5.35 billion. During the same quarter last year, the business earned $1.44 earnings per share. The company's revenue was up 1.2% on a year-over-year basis. Altria Group has set its FY 2026 guidance at 5.610-5.720 EPS. As a group, equities analysts forecast that Altria Group, Inc. will post 5.67 earnings per share for the current year.

Altria Group Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 9th. Investors of record on Tuesday, September 15th will be paid a $1.11 dividend. This is a boost from Altria Group's previous quarterly dividend of $1.06. The ex-dividend date is Tuesday, September 15th. This represents a $4.44 annualized dividend and a yield of 6.3%. Altria Group's dividend payout ratio is presently 89.45%.

Analysts Set New Price Targets

A number of research analysts have recently commented on MO shares. BTIG Research began coverage on shares of Altria Group in a research note on Tuesday, July 21st. They set a "neutral" rating on the stock. Barclays dropped their target price on shares of Altria Group from $64.00 to $58.00 and set an "underweight" rating on the stock in a report on Tuesday, August 11th. Wall Street Zen downgraded shares of Altria Group from a "buy" rating to a "hold" rating in a research note on Sunday, June 21st. Weiss Ratings reiterated a "buy (b)" rating on shares of Altria Group in a report on Tuesday, July 14th. Finally, UBS Group boosted their price target on Altria Group from $76.00 to $79.00 and gave the stock a "buy" rating in a research report on Tuesday, July 7th. Five analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, Altria Group currently has an average rating of "Hold" and a consensus price target of $70.11.

Altria Group Profile

Altria Group, Inc NYSE: MO is a tobacco and nicotine company headquartered in Richmond, Virginia. Through its operating companies, Altria develops, manufactures and markets cigarettes, cigars, oral tobacco products, nicotine pouches and electronic vaping products, with its business focused primarily on the United States.

Altria's smokeable products portfolio includes Marlboro cigarettes, which are manufactured and marketed in the U.S. by Philip Morris USA, as well as Black & Mild cigars through John Middleton.

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