Altria’s Trading Volume Surges 78% on Strong EPS Outlook as Oral Tobacco Shift Defies Smokeable Slump

On July 30, 2025, Altria (MO) saw a trading volume of $1.25 billion, a 78.47% surge from the prior day, and its stock price rose 3.61%, outperforming broader market trends. The company reported 2025 second-quarter and first-half results, narrowing its full-year adjusted diluted EPS guidance to $5.35–$5.45, reflecting a projected 3–5% growth from 2024’s $5.19. Adjusted EPS for Q2 increased 8.3% to $1.44, driven by higher operating income and reduced share counts via $274 million in repurchases. Shareholder returns totaled $4 billion in H1 2025 through dividends and buybacks.

The oral tobacco segment, led by on! nicotine pouches, became a key growth driver, offsetting declines in the smokeable products segment. Smokeable products faced a 10.2% drop in domestic cigarette shipments year-on-year, attributed to shifting consumer preferences toward e-vapor and illicit products. Altria’s oral tobacco revenue rose 5.9%, with adjusted operating income up 10.9%, underscoring the segment’s resilience. The company emphasized transitioning to smoke-free products and investing in research to align with long-term strategic goals.

Full-year guidance accounts for higher tariffs, regulatory challenges, and potential disruptions from illicit tobacco products. Despite these headwinds, Altria plans to reinvest cost savings from its Optimize & Accelerate initiative and maintain a 23–24% effective tax rate. Capital expenditures are projected between $175–225 million, with depreciation and amortization expenses around $290 million. The company remains cautious about macroeconomic uncertainties, including inflation and litigation risks, which could impact future performance.

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