Altria Group (NYSE:MO) Sets New 52-Week High After Earnings Beat

Key Points

• Altria’s earnings beat expectations: Quarterly EPS came in at $1.52 versus the $1.51 consensus estimate, while revenue reached $5.44 billion and increased year over year. The results pushed the stock to a new 52-week high of $79.81.
• Shareholder returns increased: Altria raised its quarterly dividend from $1.06 to $1.11, equivalent to a 5.7% annualized yield, and expanded its share-repurchase program.
• Analyst sentiment remains mixed: The consensus rating is “Hold,” with an average price target of $70.11, below the stock’s recent trading level despite several Buy ratings.

Altria Group, Inc. (NYSE:MO - Get Free Report)'s stock price hit a new 52-week high on Friday following a better than expected earnings announcement. The stock traded as high as $79.81 and last traded at $78.08, with a volume of 1,170,371 shares traded. The stock had previously closed at $76.75.

The company reported $1.52 earnings per share for the quarter, topping the consensus estimate of $1.51 by $0.01. The business had revenue of $5.44 billion during the quarter, compared to the consensus estimate of $5.31 billion. Altria Group had a negative return on equity of 315.29% and a net margin of 33.99%. Altria Group's revenue for the quarter was up 1.0% on a year-over-year basis. During the same period in the prior year, the company earned $1.45 EPS.

Altria Group Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, October 9th. Shareholders of record on Tuesday, September 15th were given a $1.11 dividend. This is an increase from Altria Group's previous quarterly dividend of $1.06. The ex-dividend date was Tuesday, September 15th. This represents a $4.44 annualized dividend and a yield of 5.7%. Altria Group's dividend payout ratio is currently 93.67%.

Key Stories Impacting Altria Group

Here are the key news stories impacting Altria Group this week:

• Positive Sentiment: Q3 earnings and revenue topped expectations. Altria reported adjusted diluted EPS of $1.52, up from $1.45 a year earlier and ahead of the $1.51 consensus estimate. Net revenue, after excise taxes, increased 3.6% to $5.44 billion; reported gross revenue was approximately $6.13 billion. Altria stock performance and Q3 results
• Positive Sentiment: Management raised its full-year adjusted EPS guidance. The improved outlook signals confidence that pricing increases and higher profits can offset pressure on cigarette volumes and support continued earnings growth. Altria raises FY26 outlook
• Positive Sentiment: Altria expanded its share-repurchase program. Additional buybacks could support EPS and return more capital to shareholders, reinforcing the company’s appeal to income-focused investors. Strong pricing lifted the smokeable-products business, while the discount segment gained customers amid economic pressure. Altria earnings beat and buybacks
• Neutral Sentiment: Investors remain focused on valuation and long-term growth. Commentary highlights that MO has produced substantial multiyear gains and still appears undervalued based on expected cash flows, but the stock’s proximity to its 12-month high raises the bar for future results. Options activity also suggests investors are positioning for further upside while managing risk. Altria valuation analysis

Analyst Ratings Changes

Several research analysts have issued reports on MO shares. BTIG Research initiated coverage on shares of Altria Group in a report on Tuesday, July 21st. They set a "neutral" rating for the company. UBS Group upped their price objective on shares of Altria Group from $76.00 to $79.00 and gave the company a "buy" rating in a research note on Tuesday, July 7th. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Altria Group in a research report on Monday, October 12th. Freedom Broker upgraded Altria Group to a "hold" rating in a report on Wednesday, September 16th. Finally, Barclays decreased their price target on Altria Group from $64.00 to $58.00 and set an "underweight" rating for the company in a report on Tuesday, August 11th. Five 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. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $70.11.

Insiders Place Their Bets

In related news, Director Kathryn McQuade acquired 1,500 shares of the company's stock in a transaction dated Wednesday, September 9th. The shares were purchased at an average price of $67.62 per share, for a total transaction of $101,430.00. Following the completion of the acquisition, the director owned 114,929 shares of the company's stock, valued at approximately $7,771,498.98. This trade represents a 1.32% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 0.10% of the company's stock.

Institutional Investors Weigh In On Altria Group

Hedge funds and other institutional investors have recently made changes to their positions in the business. BlackRock Inc. increased its stake in shares of Altria Group by 1.1% in the second quarter. BlackRock Inc. now owns 126,073,166 shares of the company's stock worth $9,070,964,000 after purchasing an additional 1,325,175 shares in the last quarter. GQG Partners LLC bought a new stake in Altria Group during the second quarter valued at about $1,806,782,000. Bank of America Corp DE bought a new stake in Altria Group during the second quarter valued at about $1,104,566,000. Bank of New York Mellon Corp lifted its position in shares of Altria Group by 1.0% in the first quarter. Bank of New York Mellon Corp now owns 12,929,142 shares of the company's stock valued at $853,194,000 after acquiring an additional 133,676 shares in the last quarter. Finally, Legal & General Group Plc purchased a new position in shares of Altria Group in the second quarter valued at about $631,606,000. 57.41% of the stock is owned by institutional investors.

Altria Group Stock Up 1.5%

The stock has a market cap of $130.08 billion, a P/E ratio of 16.43, a price-to-earnings-growth ratio of 2.60 and a beta of 0.42. The business has a 50 day moving average price of $70.23 and a two-hundred day moving average price of $68.65.

About Altria Group

Altria Group, Inc is a U.S.-based consumer products company focused primarily on tobacco, nicotine and related products. Through its operating companies, Altria sells cigarettes, cigars, pipe tobacco, oral tobacco and nicotine products, and electronic vapor products.

Altria's principal cigarette business is Philip Morris USA, whose portfolio includes Marlboro, Parliament and Virginia Slims. Its other major brands include Copenhagen and Skoal moist smokeless tobacco, Black & Mild cigars, on! nicotine pouches and NJOY electronic cigarettes.

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