MO Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Altria Group Inc (MO) is not a strong buy for a beginner, long-term investor at this moment. While the stock offers a high dividend yield and has some positive developments in the smoke-free product segment, the company's financial performance has been weak, with significant YoY declines in revenue, net income, and EPS. Additionally, technical indicators do not suggest a strong upward trend, and options data reflects mixed sentiment. Given the lack of strong positive catalysts and the investor's preference for long-term growth, holding off on this investment for now is advisable.
The MACD is negative and contracting, indicating a bearish trend. RSI is neutral at 37.973, and moving averages are converging, showing no clear direction. The stock is trading near its support level (S1: 63.442), with resistance at 65.612. Overall, the technical indicators suggest a lack of strong momentum.
Altria launched its on! PLUS oral nicotine pouch nationwide, showcasing innovation and FDA approval.
Analysts from UBS and BofA maintain a Buy rating with price targets of $74 and $72, citing stabilizing cigarette volumes and potential revenue growth.
Weak financial performance in Q4 2025, with significant YoY declines in revenue (-0.53%), net income (-63.25%), and EPS (-63.13%).
Altria faces challenges in the smoke-free market compared to competitors like Philip Morris.
Mixed analyst ratings, with Barclays maintaining an Underweight rating and a price target of $63.
In Q4 2025, Altria's revenue dropped to $5.08 billion (-0.53% YoY), net income fell sharply to $1.11 billion (-63.25% YoY), and EPS declined to $0.66 (-63.13% YoY). However, gross margin increased slightly to 71.06% (+0.68% YoY), indicating some operational efficiency.
Analysts are mixed on Altria. UBS and BofA are optimistic, with Buy ratings and price targets of $74 and $72, respectively. However, Barclays maintains an Underweight rating with a $63 price target, citing concerns about the company's smoke-free market performance and broader industry challenges.
