Zurich Insurance Group Ltd FI Makes New Investment in Altria Group, Inc. $MO

Key Points

• Zurich Insurance Group Ltd FI has acquired a new stake in Altria Group, incvesting approximately $87.4 million for 1,456,925 shares, representing about 0.09% ownership by the end of the first quarter.
• Other major investors, including Vanguard Group, Charles Schwab, and GQG Partners, have also increased their holdings in Altria Group significantly during the same period.
• Altria Group announced a quarterly dividend increase to $1.06 per share from the previous $1.02, with a dividend yield of 6.4% and a payout ratio of 78.92%.

Zurich Insurance Group Ltd FI acquired a new position in Altria Group, Inc. (NYSE:MO - Free Report) in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 1,456,925 shares of the company's stock, valued at approximately $87,445,000. Zurich Insurance Group Ltd FI owned 0.09% of Altria Group at the end of the most recent reporting period.

Other hedge funds have also recently added to or reduced their stakes in the company. Sierra Ocean LLC boosted its holdings in Altria Group by 226.3% in the first quarter. Sierra Ocean LLC now owns 509 shares of the company's stock worth $31,000 after purchasing an additional 353 shares during the period. Inlight Wealth Management LLC acquired a new position in Altria Group in the first quarter worth $31,000. Pinney & Scofield Inc. acquired a new position in Altria Group in the fourth quarter worth $33,000. TruNorth Capital Management LLC boosted its holdings in Altria Group by 51.8% in the first quarter. TruNorth Capital Management LLC now owns 636 shares of the company's stock worth $38,000 after purchasing an additional 217 shares during the period. Finally, Abound Financial LLC acquired a new position in Altria Group in the first quarter worth $40,000. Institutional investors and hedge funds own 57.41% of the company's stock.

Altria Group Price Performance

Shares of NYSE MO traded up $0.17 during midday trading on Thursday, reaching $66.40. 10,018,628 shares of the company traded hands, compared to its average volume of 7,003,779. Altria Group, Inc. has a 52 week low of $48.86 and a 52 week high of $68.60. The stock has a 50-day moving average price of $63.14 and a 200 day moving average price of $60.02. The company has a market cap of $111.54 billion, a price-to-earnings ratio of 12.84, a PEG ratio of 3.56 and a beta of 0.59.

Altria Group (NYSE:MO - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The company reported $1.44 earnings per share for the quarter, beating analysts' consensus estimates of $1.37 by $0.07. Altria Group had a net margin of 37.24% and a negative return on equity of 295.26%. The business had revenue of $5.29 billion for the quarter, compared to analysts' expectations of $5.21 billion. During the same period in the previous year, the business earned $1.31 earnings per share. The company's revenue was up .2% on a year-over-year basis. Altria Group has set its FY 2025 guidance at 5.350-5.450 EPS. As a group, analysts expect that Altria Group, Inc. will post 5.32 EPS for the current year.

Altria Group Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Monday, September 15th will be paid a dividend of $1.06 per share. This is an increase from Altria Group's previous quarterly dividend of $1.02. This represents a $4.24 dividend on an annualized basis and a dividend yield of 6.4%. The ex-dividend date is Monday, September 15th. Altria Group's dividend payout ratio (DPR) is presently 78.92%.

Analysts Set New Price Targets

A number of equities analysts have commented on MO shares. UBS Group raised shares of Altria Group from a "sell" rating to a "neutral" rating and lifted their price objective for the stock from $47.00 to $59.00 in a report on Wednesday, July 2nd. Barclays lifted their price objective on shares of Altria Group from $49.00 to $57.00 and gave the stock an "underweight" rating in a report on Wednesday, August 6th. Bank of America boosted their price target on shares of Altria Group from $64.00 to $72.00 and gave the company a "buy" rating in a report on Friday, August 22nd. Stifel Nicolaus set a $72.00 price target on shares of Altria Group in a report on Thursday, August 21st. Finally, Jefferies Financial Group assumed coverage on shares of Altria Group in a report on Wednesday, July 9th. They set an "underperform" rating and a $50.00 price target for the company. Two research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $60.88.

About Altria Group

Altria Group, Inc, through its subsidiaries, manufactures and sells smokeable and oral tobacco products in the United States. The company offers cigarettes primarily under the Marlboro brand; large cigars and pipe tobacco under the Black & Mild brand; moist smokeless tobacco and snus products under the Copenhagen, Skoal, Red Seal, and Husky brands; oral nicotine pouches under the on! brand; and e-vapor products under the NJOY ACE brand.