#6 - Altria Group (NYSE:MO)
Altria Group Inc. (NYSE: MO) is the only Dividend king on this list. The company is one of the Big 3 international tobacco companies and the parent company of Phillip Morris, making it a “sin stock.” However, these stocks tend to be defensive in nature because people will buy the company’s products even when the economy is slowing.
The growth thesis for Altria centers around its pivot into smokeless tobacco products. The company is seeing significant market share gains with its NJOY and on! Brands. In its most recent quarter, Altria reported it had tripled device shipments. And after the FDA approved its menthol e-cigarettes, it now has a 6.2% market share.
The analyst outlook for Altria is mixed. Nevertheless, several analysts give MO stock a price target of $60. That would be about a 10% gain from the current price. But when you include the company’s 7.49% dividend yield, investors are forecasted to get a total return that’s slightly above the stock’s five-year average total return of around 15%.
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.
Read More - Current Price
- $56.73
- Consensus Rating
- Hold
- Ratings Breakdown
- 2 Buy Ratings, 3 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $51.33 (9.5% Downside)
