81.75 -0.05 (-0.06%)
After hours: 6:14PM EDT
|Bid||81.61 x 800|
|Ask||81.81 x 1100|
|Day's Range||80.30 - 81.90|
|52 Week Range||64.67 - 92.74|
|Beta (3Y Monthly)||1.09|
|PE Ratio (TTM)||16.29|
|Earnings Date||Feb 6, 2019 - Feb 11, 2019|
|Forward Dividend & Yield||4.68 (5.81%)|
|1y Target Est||92.71|
Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of Philip Morris International Inc. London, 21 October 2019 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Philip Morris International Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
On October 18, Citigroup upgraded Altria stock to “neutral” from “sell.” It expects the negative news surrounding vaping to boost cigarette volumes.
Bernstein Research published its latest Quant+Fundamental stock picks. Three names are holdovers from April: Philip Morris, CVS Health, and Southwest Airlines.
Altria (NYSE:MO) stock again finds itself hurt by negative headlines. The controversy over its vaping product, Juul, has led investors to dump MO stock. As a result, it now trades close to its 52-week lows.Source: Kristi Blokhin / Shutterstock.com However, as a result of the concerns surrounding Juul, Altria stock trades at a relative discount and now gives investors an unusually high payout near 7.75%. More importantly, the trading history of MO indicates that Altria stock could profit investors hugely at these levels. MO Stock has Long Prospered Amid Negative PublicityDespite the negative specter that has hung over tobacco stocks since for the 1960s, Altria stock tends to generate profits and generous dividends year after year with little fanfare. However, the negative publicity has returned in recent weeks. Its investment in Juul has come under fire as medical experts have linked vaping products to multiple hospital visits and a few deaths.InvestorPlace - Stock Market News, Stock Advice & Trading TipsHowever, as we have learned over the decades, investors have good reason to take any negative publicity about the tobacco industry with a grain of salt. The Surgeon General's report that first warned of the dangers of smoking came out in 1964. At that time, about 42% of Americans smoked cigarettes. Smoking was commonplace and permitted in most public areas. Altria stock (then known as Philip Morris Companies) was trading at the split-adjusted price of 13 cents per share.The Centers for Disease Control notes that smoking rates continue to fall. However, by 2016, only about 15.5% of the population smoked cigarettes. Now, smokers often struggle to find a public place where they can light their cigarettes. Despite this stigma on tobacco, the Altria stock price stands at around $44 per share, an increase of almost 340 times from 1964 levels. With the dividend at $3.36 per share, investors who have owned Altria stock since 1964 receive almost a 26-fold return annually on the payout alone! * 10 Hot Stocks Staging Huge Reversals That stock growth happened amid decades of negative publicity and billions in legal settlements. If all of that did not stop Altria stock from growing, I remain skeptical that the controversy surrounding vaping will damage the company long term. Juul Brings Both Pain and a Buy OpportunityInvestors should also remember that the investigations continue. This means they may not ultimately trace the illnesses directly to Juul. Also, even if Altria has to write off its $12.8 billion investment in Juul, the company's $1.8 billion stake in cannabis stock Cronos Group (NASDAQ:CRON) could still help the company. That investment gave Altria 45% of Cronos, with the option to take this stake as high as 55%. This should give Altria an alternate, fast-growing revenue source even if tobacco smoking rates continue to fall.Still, investors also need to consider the significant amount of short-term damage that vaping illnesses have caused. Altria stock has fallen by about one-third from the 52-week high it achieved almost a year ago. Concerns about Juul also likely sidelined the proposed merger with Philip Morris International (NYSE:PM).As a result, MO stock trades at a forward price-to-earnings (PE) ratio of around 9.8. This is well below the 16.4x average PE ratio Altria supported during the previous five years. Moreover, Wall Street projects profit growth of 5% in 2019 and 7.2% in the next fiscal year. This will not impress many investors, but it still should help maintain its periodic payout hikes. Though the company sometimes misses an annual dividend increase, it has hiked the payout annually for the last 10 years.This has also occurred despite a dividend yield that dramatically exceeds historical averages. Over the last five years, Altria stock produced an average return on its payout of about 4.3%. However, investors who buy today will see a cash return of about 7.75%. Bottom Line on Altria StockFrom a numbers perspective, Altria stock looks clearly like a buy. With a single-digit PE ratio and a growing, generous dividend yield, investors who buy MO stock now should profit from their decision long term. * 7 Dividend Stocks to Buy (With Brands You Can Find In Your Kitchen) In time, the controversy over Juul will fade from the headlines. However, the long-term average multiple has, and will, probably continue to lag the S&P 500 index. The established link between smoking and a variety of diseases creates a permanent worry about the cost of settlements and other costs. Moreover, many Americans have seen family and friends become sick and die prematurely due to tobacco use. For some of them, Altria stock is not a buy at any price. Investors need to continue to factor this sentiment into the MO stock price.However, MO trades at multiples well below its long-term averages and offers a huge dividend payout. If the lawsuits and anti-smoking crusades from previous decades did not stop Altria stock, I doubt vaping issues will either.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Penny Stocks to Buy * 7 Bank Stocks to Avoid Now at All Costs * The 10 Best Mutual Funds for Your 401k The post The History of Altria Stock Indicates That Now is the Time To Buy appeared first on InvestorPlace.
U.S. stocks managed small gains on Thursday, with all three major indexes closing in the black. The United Kingdom and European Union have agreed on a draft Brexit deal.
Juul has suspended the sale of non-tobacco and non-menthol flavors in the U.S., according to a company press release. Altria, a big investor in Juul, saw its stock gain more than 1% on Thursday.
Philip Morris said that it was in merger talks as recently as August but cancelled those talks amid increased furor over the vaping related deaths.
The tobacco giant’s chief financial officer tells Barron’s that the company is taking market share and seeing success with its reduced-risk products.
Philip Morris' (PM) Q3 results gain from growth in heated tobacco unit and favorable pricing. However, decline in cigarette shipment volumes was a drag.
Cigarette maker Philip Morris reported better-than-expected third-quarter earnings Thursday. The stock was up in premarket trading, but fell after management provided disappointing fourth quarter guidance on the company’s earnings conference call.
Philip Morris (PM) delivered earnings and revenue surprises of 5.93% and 0.42%, respectively, for the quarter ended September 2019. Do the numbers hold clues to what lies ahead for the stock?
Philip Morris International Inc. shares rose more than 2% then pared its gains to trade up 0.1% in premarket trade Thursday, after the company topped profit estimates for the third quarter as sales fell slightly short. The company said it had net income of $1.896 billion, or $1.22 a share, in the quarter, down from $2.247 billion, or $1.44 a share, in the year-earlier period. Adjusted per-share earnings came to $1.43, ahead of the $1.36 FactSet consensus. Revenue edged up to $7.642 billion from $7.504 billion, just below the FactSet consensus of $7.651 billion. The company revised down its full-year guidance and now expects EPS of at least $4.73, compared with prior guidance of at least $4.94. It expects adjusted EPS of $5.14. The current FactSet consensus is for EPS of $5.21. The new guidance includes a 4 cents a share tax benefit, asset impairment and exit costs fo about 4 cents a share, a Canadian tobacco litigation-related charge of about 9 cents a share and 12 cents impact of the loss of the deconsolidation of PMI's Canadian subsidiary Rothmans, Benson & Hedges Inc., among other special charges. The company is expecting a total international industry volume decline excluding China and the U.S. of 2.5% in 2019. Shares have gained 18% in 2019, while the S&P 500 has gained 19%.
Revises, for a Tax Charge of $0.20 Per Share in Russia, 2019 Full-Year Reported Diluted EPS Forecast to at Least $4.73 vs. $5.08 in 2018, Reflecting Currency-Neutral Like-For-Like
The tobacco giant beats analysts' expectations for earnings and revenue for the third quarter, with results buoyed by growing demand for its new, smokeless tobacco product, IQOS.
Investing.com - Philip Morris reported third quarter earnings that beat analysts' expectations on Thursday and revenue that fell short of forecasts.
Investing.com -- There's a Brexit deal in the offing, although it still needs to be approved by a recalcitrant British parliament. The pound and other U.K. and European assets are responding with enthusiasm. Elsewhere, Netflix (NASDAQ:NFLX) is set for a pop after stronger-than-expected earnings in the third quarter, even though subscriber growth again fell short of expectations. There are also regular updates on U.S. industrial production and the housing market, while oil is struggling after a big build in U.S. crude stocks last week. Here's what you need to know in financial markets on Thursday, 17th October.
Earnings will continue as the focal point for investors Thursday, as Morgan Stanley and Union Pacific gear up to report.
Philip Morris International (PM) is set to report their third quarter results before the opening bell on Thursday, October 17th.
While it’s too early to be sure, she thinks that negative headlines about e-cigarettes could be helping traditional cigarette sales. Altria and Philip Morris stock have been trading in opposite directions this year.
One strategist screened for companies that are expected to see earnings drop in the third quarter, and have had three or more “double misses” during the last eight quarters. Stocks that fit the bill include Walt Disney, Philip Morris International, and Deere.