I know MO isn't talked about here much, but I will ask anyway. Is this going down this much for a reason and does anyone think that this is time to add or wait for it to drop some more. Flame away for me asking about the stock instead of all the political junk. Thanks.
it seems all high divvy payers are or have corrected a bit as a rotation of money occurs due to rising interest rates. people who depend on divvy payments need not take risk in stocks if they can get same $ in risk free CD's, etc..
Gonna take some time for interest rates to get the to the yield on the income stocks which are largely insulated from bad economic news. Money moves in when the market doesn't point to a clear direction on the alternatives...it moves out when Wall Street thinks a particular sector is about to take off. Wall Street is not driven by common sense.
Years ago (before the extortion (i.e. litigation) and the spin-offs) the then CFO predicted that the US tobacco business would be the same as a utility stock...profitable and a high pay-out ratio but very limited growth prospects. They learned the hard way that they don't know how to run a business that isn't somehow tied to tobacco. So consider MO to be a dividend play, nothing more.
June options look like 35 a share.Mo buys its stock back and also has a 27% stake in Sab/miller which gives them more than 300 mil a year in cash to do acquisitions.Their challenge is to evolve the company from a stick tobacco firm.They have good mngt and Devitre just made a 988k $ purchase at approx 35.80 a share so he thinks its a good buy.I'm biased because the company has treated me well not only as an employee but a shareholder.Good luck to you in your decisions.Fezzy
fine print of President Barack Obama's proposed 2014 federal budget 82 billion reasons to quit . Obama's budget proposal that entailed raising the federal tax on cigarettes from $1.01 per pack to $1.95 – a $0.94 increase! According to calculations associated with the president's budget proposal, the increase would raise $78 billion over the next decade, which would be enough to fund a universal preschool program for children.
The tight rope government walks now both fed state and local is that sales will reduce to the point of rebate on the master settlement agreement.An increase in tax isn't an automatic increase in revenue.
Wow, red, you seem to have a lot of info. Care to share where you got all of this helpful information? Please tell me you read all of the "proposed" 2014 budget proposal to up the prices on cigs and tell us how you are positive it will pass? Explain your crystal ball. Thanks.