Matthew Smith, CFA, an analyst from Stifel Nicolaus, maintained the Buy rating on Altria Group. The associated price target remains the same with $68.00.
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Matthew Smith, CFA has given his Buy rating due to a combination of factors tied to Altria’s core combustible franchise and emerging growth drivers. He highlights that U.S. cigarette volume declines are easing, while Altria’s pricing power, brand initiatives such as Basic’s repositioning and the upcoming Marlboro Cowboy Cut launch, and revenue management all underpin steady earnings expansion.
He also points to the national rollout of the higher-value on! PLUS nicotine pouch line, the growing financial benefit of the double-duty drawback program, and the company’s guidance for mid–single-digit EPS growth in 2026. Combined with strong cash generation, a dividend yield above 6% with ongoing increases, and upside optionality from the ABI stake, he believes the current valuation leaves room for meaningful share appreciation, supporting his $68 target price and Buy recommendation.
Based on the recent corporate insider activity of 38 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of MO in relation to earlier this year.