Altria Group (NYSE:MO) Trading 1.9% Higher – Should You Buy?

Altria Group, Inc. (NYSE:MO) was up 1.9% on Thursday . The company traded as high as $68.15 and last traded at $68.0120. Approximately 7,827,119 shares traded hands during mid-day trading, a decline of 28% from the average daily volume of 10,861,243 shares. The stock had previously closed at $66.77.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on MO. Argus raised Altria Group to a “hold” rating in a report on Tuesday, January 13th. Citigroup raised their target price on Altria Group from $57.00 to $65.00 and gave the stock a “neutral” rating in a research report on Monday, February 9th. UBS Group upped their price target on Altria Group from $63.00 to $67.00 and gave the company a “buy” rating in a research report on Monday, January 26th. Finally, Stifel Nicolaus cut their price objective on Altria Group from $72.00 to $68.00 and set a “buy” rating for the company in a report on Friday, January 30th. Five research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, Altria Group currently has an average rating of “Hold” and a consensus price target of $63.67.

Altria Group Trading Up 1.9%

The stock has a fifty day moving average of $60.93 and a two-hundred day moving average of $62.30. The stock has a market capitalization of $114.17 billion, a price-to-earnings ratio of 16.55, a PEG ratio of 3.67 and a beta of 0.47.

Altria Group (NYSE:MO) last announced its earnings results on Thursday, January 29th. The company reported $1.30 EPS for the quarter, missing the consensus estimate of $1.32 by ($0.02). Altria Group had a negative return on equity of 287.61% and a net margin of 29.84%.The business had revenue of $5.08 billion for the quarter, compared to the consensus estimate of $5.02 billion. During the same quarter in the previous year, the company posted $1.30 EPS. Altria Group’s revenue for the quarter was down .5% on a year-over-year basis. Equities analysts expect that Altria Group, Inc. will post 5.32 earnings per share for the current year.

Altria Group Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, January 9th. Shareholders of record on Friday, December 26th were paid a $1.06 dividend. The ex-dividend date of this dividend was Friday, December 26th. This represents a $4.24 dividend on an annualized basis and a dividend yield of 6.2%. Altria Group’s payout ratio is currently 103.16%.

Altria Group declared that its board has initiated a stock repurchase program on Thursday, October 30th that permits the company to buyback $2.00 billion in outstanding shares. This buyback authorization permits the company to buy up to 1.9% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s board believes its shares are undervalued.

Institutional Investors Weigh In On Altria Group

Institutional investors and hedge funds have recently made changes to their positions in the company. CWA Asset Management Group LLC grew its holdings in shares of Altria Group by 8.6% during the 3rd quarter. CWA Asset Management Group LLC now owns 335,418 shares of the company’s stock worth $22,158,000 after purchasing an additional 26,624 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. grew its stake in Altria Group by 1.3% during the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 3,522,209 shares of the company’s stock worth $232,677,000 after buying an additional 44,303 shares in the last quarter. Vanguard Group Inc. grew its stake in Altria Group by 1.0% during the second quarter. Vanguard Group Inc. now owns 159,717,148 shares of the company’s stock worth $9,364,216,000 after buying an additional 1,599,923 shares in the last quarter. JPMorgan Chase & Co. increased its holdings in Altria Group by 7.2% in the 3rd quarter. JPMorgan Chase & Co. now owns 12,073,682 shares of the company’s stock valued at $797,587,000 after buying an additional 814,665 shares during the period. Finally, Silver Oak Securities Incorporated raised its position in shares of Altria Group by 155.4% in the 3rd quarter. Silver Oak Securities Incorporated now owns 31,220 shares of the company’s stock valued at $2,062,000 after buying an additional 18,997 shares in the last quarter. Institutional investors own 57.41% of the company’s stock.

About Altria Group

Altria Group, Inc (NYSE: MO) is a U.S.-based consumer goods company whose principal business is the manufacture and sale of tobacco products. Headquartered in Richmond, Virginia, the company’s operations are focused primarily on the U.S. market and include the production, marketing and distribution of cigarettes, smokeless tobacco and cigars. Its flagship cigarette franchise in the United States is sold through its operating subsidiaries and is among the most recognizable cigarette brands in the country.

Altria’s principal operating businesses include Philip Morris USA (cigarettes), U.S.