- Altria Corporation narrows its full-year adjusted EPS forecast to $5.07 – $5.15, compared to its previous forecast of $5.05 – $5.17. The market estimate was $5.10.
- Second Quarter Highlights:
- Total revenue excluding excise taxes: $5.28 billion, down 3% year-over-year, against the estimate of $5.4 billion.
- Revenue from smokeable products, net of excise taxes: $4.59 billion, down 4% year-over-year, against the estimate of $4.73 billion.
- Revenue from oral tobacco products, net of excise taxes: $687 million, up 5.5% year-over-year, against the estimate of $682.4 million.
- Adjusted EPS consistent at $1.31 compared to the previous year, short of the estimate of $1.34.
- Smokeable products adjusted operating companies income (OCI): $2.83 billion, down 2% year-over-year, against the estimate of $2.84 billion.
- Oral tobacco adjusted OCI: $451 million, up 1.8% year-over-year, below the estimate of $475.2 million.
- Shipment Volumes:
- Cigarette shipment volume: 17.90 billion sticks, below the estimate of 18.47 billion, reflecting a 13% decline against an estimated decline of 9.49%.
- Cigar shipment volume: 462 million sticks, surpassing the estimate of 446.2 million, but down 0.9% year-over-year against an estimated decline of 4.52%.
- Oral tobacco shipment volume: 200.7 million cans & packs, slightly under the estimate of 201.6 million, reflecting a 1.8% decline against an estimated decline of 1.37%.
- Analyst Recommendations:
- 6 buys
- 5 holds
- 3 sells
Altria Group on Smartkarma
Analyst coverage of Altria Group on Smartkarma is providing valuable insights into the company’s performance and future outlook. Baptista Research, through their report “Altria Group: Can Its Oral Tobacco Category and Smoke-Free Products Reshape The Future? – Major Drivers,” emphasized key insights from Altria Group‘s recent 2024 first quarter earnings. CEO Billy Gifford’s remarks highlighted the company’s significant progress despite a challenging business environment. Altria’s commitment to investment returns was evident with the sale of a portion of its investment in ABI and the subsequent expansion of its share repurchase program.
In another report by Baptista Research titled “Altria Group: Promotion Of Smoke-Free Products & 5 Other Factors Driving Growth! – Financial Forecasts,” the focus was on Altria Group‘s intent to diversify into smoke-free product categories such as heated tobacco, oral tobacco, and e-vapor. This strategic move aims to offset declining cigarette volumes and broaden the consumer base for sustained growth. The research highlights important factors discussed in Altria Group‘s recent earnings call, providing investors with essential insights to consider for their investment decisions.
A look at Altria Group Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 5 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Altria Group, Inc., a leading holding company in the tobacco industry, is positioned favorably for long-term success based on its Smartkarma Smart Scores. With top marks in Dividend, Growth, Resilience, and Momentum, Altria is demonstrating strength across key factors essential for sustained success. The company’s high scores signal a positive outlook for investors looking at Altria Group as a potential long-term investment.
Despite receiving a lower score in the Value category, Altria’s overall positive performance in Dividend, Growth, Resilience, and Momentum underscores its potential for solid long-term growth and stability. With a diverse portfolio that includes manufacturing and selling cigarettes, cigars, pipe tobacco, and an interest in a brewery company, Altria Group continues to show resilience and momentum in its operations, positioning it well for the future.
### Summary: Altria Group, Inc. is a holding company with subsidiaries engaged in the manufacturing and sale of tobacco products, including cigarettes, cigars, and pipe tobacco. Additionally, Altria holds an interest in a brewery company. ###
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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