Deutsche Bank downgrades Altria Group to Hold after 15% year-to-date rally

Deutsche Bank downgraded Altria Group (MO) to Hold from Buy with an unchanged price target of $60. The shares offer defensive cash generation supporting the 7% dividend yield, but given the near-term challenges to both U.S. combustibles and the lack of visibility on NJOY, the firm thinks the current valuation multiples indicate fair value with the stock up about 15% year-to-date, the analyst tells investors.