Altria’s 0.63% Rally Hits 384th Rank as Volume Plummets 24.2% Amid Analyst Skepticism

On August 7, 2025, Altria (MO) rose 0.63% to $63.55, with a trading volume of $0.31 billion, down 24.2% from the prior day, ranking 384th in market activity.

Recent reports highlight Altria’s mixed fundamentals. Despite a second-quarter earnings beat—reporting $1.44 per share against expectations of $1.39—revenue (net of excise taxes) fell 2% year-over-year to $5.29 billion. The company’s core tobacco business remains challenged, with 88% of revenue still derived from combustible products amid shifting consumer preferences toward smoke-free alternatives. Analysts caution that while the stock trades at a 12x trailing P/E, a valuation discount reflects uncertain growth prospects and a dividend payout ratio of 78.92%, raising concerns about sustainability.

Barclays raised Altria’s price target to $57 from $49, maintaining an underweight rating, while UBS upgraded its stance to “neutral” with a $59 target. Institutional ownership increased in Q2, with firms like Commonwealth Equity Services and Resona Asset Management boosting stakes. However, the stock faces scrutiny over declining top-line growth and a 6.4% dividend yield that relies on a narrowing cash flow margin.

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