ALTRIA GROUP INC (1MO.MI) Stock Fundamental Analysis
BIT:1MO - Euronext Milan - US02209S1033 - Common Stock - Currency: EUR
Overall 1MO gets a fundamental rating of 6 out of 10. We evaluated 1MO against 5 industry peers in the Tobacco industry. While 1MO has a great profitability rating, there are some minor concerns on its financial health. 1MO has a bad growth rate and is valued cheaply. These ratings would make 1MO suitable for value investing!
1. Profitability
1.1 Basic Checks
1MO had positive earnings in the past year.
1MO had a positive operating cash flow in the past year.
In the past 5 years 1MO has always been profitable.
In the past 5 years 1MO always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 27.10%, 1MO belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of 1MO (37.10%) is better than 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1MO is significantly above the industry average of 21.83%.
The last Return On Invested Capital (37.10%) for 1MO is above the 3 year average (34.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.1% | ||
| ROE | N/A | ||
| ROIC | 37.1% |
ROA(3y)22.85%
ROA(5y)16.84%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)34.16%
ROIC(5y)31.32%
1.3 Margins
1MO has a better Profit Margin (37.13%) than 100.00% of its industry peers.
1MO's Profit Margin has improved in the last couple of years.
The Operating Margin of 1MO (51.20%) is better than 100.00% of its industry peers.
1MO's Operating Margin has improved in the last couple of years.
1MO has a Gross Margin (61.41%) which is in line with its industry peers.
1MO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 51.2% | ||
| PM (TTM) | 37.13% | ||
| GM | 61.41% |
OM growth 3Y2.51%
OM growth 5Y3%
PM growth 3Y70.3%
PM growth 5YN/A
GM growth 3Y3.67%
GM growth 5Y3.35%
2. Health
2.1 Basic Checks
1MO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
1MO has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1MO has less shares outstanding
1MO has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.98 indicates that 1MO is not in any danger for bankruptcy at the moment.
The Altman-Z score of 1MO (4.98) is better than 83.33% of its industry peers.
The Debt to FCF ratio of 1MO is 2.83, which is a good value as it means it would take 1MO, 2.83 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.83, 1MO belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 4.98 |
ROIC/WACC4.87
WACC7.61%
2.3 Liquidity
1MO has a Current Ratio of 0.39. This is a bad value and indicates that 1MO is not financially healthy enough and could expect problems in meeting its short term obligations.
1MO has a worse Current ratio (0.39) than 66.67% of its industry peers.
1MO has a Quick Ratio of 0.39. This is a bad value and indicates that 1MO is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1MO (0.24) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.24 |
3. Growth
3.1 Past
1MO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.54%, which is quite good.
The Earnings Per Share has been growing slightly by 4.03% on average over the past years.
The Revenue has decreased by -1.86% in the past year.
1MO shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.89% yearly.
EPS 1Y (TTM)8.54%
EPS 3Y3.63%
EPS 5Y4.03%
EPS Q2Q%9.92%
Revenue 1Y (TTM)-1.86%
Revenue growth 3Y-2.62%
Revenue growth 5Y-0.89%
Sales Q2Q%0.25%
3.2 Future
1MO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.38% yearly.
1MO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.73% yearly.
EPS Next Y8.1%
EPS Next 2Y5.41%
EPS Next 3Y4.63%
EPS Next 5Y3.38%
Revenue Next Year-1.17%
Revenue Next 2Y-0.59%
Revenue Next 3Y-0.48%
Revenue Next 5Y0.73%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.78, the valuation of 1MO can be described as reasonable.
83.33% of the companies in the same industry are more expensive than 1MO, based on the Price/Earnings ratio.
1MO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.82.
A Price/Forward Earnings ratio of 10.10 indicates a reasonable valuation of 1MO.
Based on the Price/Forward Earnings ratio, 1MO is valued cheaper than 83.33% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.21. 1MO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 10.1 |
4.2 Price Multiples
1MO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. 1MO is cheaper than 83.33% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1MO indicates a somewhat cheap valuation: 1MO is cheaper than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.11 | ||
| EV/EBITDA | 9.73 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of 1MO may justify a higher PE ratio.
PEG (NY)1.33
PEG (5Y)2.67
EPS Next 2Y5.41%
EPS Next 3Y4.63%
5. Dividend
5.1 Amount
1MO has a Yearly Dividend Yield of 6.59%, which is a nice return.
Compared to an average industry Dividend Yield of 5.10, 1MO pays a better dividend. On top of this 1MO pays more dividend than 83.33% of the companies listed in the same industry.
1MO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.59% |
5.2 History
The dividend of 1MO has a limited annual growth rate of 4.03%.
Dividend Growth(5Y)4.03%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
78.52% of the earnings are spent on dividend by 1MO. This is not a sustainable payout ratio.
The dividend of 1MO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP78.52%
EPS Next 2Y5.41%
EPS Next 3Y4.63%
BIT:1MO (7/22/2025, 7:00:00 PM)
50.47
-0.49 (-0.96%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners63.25%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap85.01B
Analysts72.17
Price Target50.8 (0.65%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.59% |
Yearly Dividend3.48
Dividend Growth(5Y)4.03%
DP78.52%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.73%
Min EPS beat(2)0.61%
Max EPS beat(2)0.84%
EPS beat(4)2
Avg EPS beat(4)-0.51%
Min EPS beat(4)-2.78%
Max EPS beat(4)0.84%
EPS beat(8)2
Avg EPS beat(8)-2.07%
EPS beat(12)2
Avg EPS beat(12)-2.44%
EPS beat(16)2
Avg EPS beat(16)-2.52%
Revenue beat(2)0
Avg Revenue beat(2)-2.93%
Min Revenue beat(2)-4.94%
Max Revenue beat(2)-0.92%
Revenue beat(4)0
Avg Revenue beat(4)-2.55%
Min Revenue beat(4)-4.94%
Max Revenue beat(4)-0.92%
Revenue beat(8)0
Avg Revenue beat(8)-3.41%
Revenue beat(12)3
Avg Revenue beat(12)1.03%
Revenue beat(16)7
Avg Revenue beat(16)5.21%
PT rev (1m)-2.59%
PT rev (3m)-2.46%
EPS NQ rev (1m)-0.67%
EPS NQ rev (3m)-0.31%
EPS NY rev (1m)-0.13%
EPS NY rev (3m)1.27%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-0.93%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 10.1 | ||
| P/S | 4.11 | ||
| P/FCF | 11.11 | ||
| P/OCF | 10.92 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.73 |
EPS(TTM)4.68
EY9.27%
EPS(NY)5
Fwd EY9.9%
FCF(TTM)4.54
FCFY9%
OCF(TTM)4.62
OCFY9.16%
SpS12.28
BVpS-1.69
TBVpS-11.57
PEG (NY)1.33
PEG (5Y)2.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.1% | ||
| ROE | N/A | ||
| ROCE | 47.29% | ||
| ROIC | 37.1% | ||
| ROICexc | 39.06% | ||
| ROICexgc | 179.29% | ||
| OM | 51.2% | ||
| PM (TTM) | 37.13% | ||
| GM | 61.41% | ||
| FCFM | 36.99% |
ROA(3y)22.85%
ROA(5y)16.84%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)34.16%
ROIC(5y)31.32%
ROICexc(3y)39.35%
ROICexc(5y)36.18%
ROICexgc(3y)239.24%
ROICexgc(5y)176.2%
ROCE(3y)43.55%
ROCE(5y)39.93%
ROICexcg growth 3Y38.33%
ROICexcg growth 5Y47.52%
ROICexc growth 3Y4.11%
ROICexc growth 5Y13.18%
OM growth 3Y2.51%
OM growth 5Y3%
PM growth 3Y70.3%
PM growth 5YN/A
GM growth 3Y3.67%
GM growth 5Y3.35%
F-Score6
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.83 | ||
| Debt/EBITDA | 1.91 | ||
| Cap/Depr | 51.21% | ||
| Cap/Sales | 0.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.75% | ||
| Profit Quality | 99.62% | ||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.24 | ||
| Altman-Z | 4.98 |
F-Score6
WACC7.61%
ROIC/WACC4.87
Cap/Depr(3y)70.81%
Cap/Depr(5y)74.31%
Cap/Sales(3y)0.74%
Cap/Sales(5y)0.75%
Profit Quality(3y)109.56%
Profit Quality(5y)169.16%
High Growth Momentum
Growth
EPS 1Y (TTM)8.54%
EPS 3Y3.63%
EPS 5Y4.03%
EPS Q2Q%9.92%
EPS Next Y8.1%
EPS Next 2Y5.41%
EPS Next 3Y4.63%
EPS Next 5Y3.38%
Revenue 1Y (TTM)-1.86%
Revenue growth 3Y-2.62%
Revenue growth 5Y-0.89%
Sales Q2Q%0.25%
Revenue Next Year-1.17%
Revenue Next 2Y-0.59%
Revenue Next 3Y-0.48%
Revenue Next 5Y0.73%
EBIT growth 1Y4.83%
EBIT growth 3Y-0.18%
EBIT growth 5Y2.09%
EBIT Next Year5.6%
EBIT Next 3Y3.07%
EBIT Next 5Y1.64%
FCF growth 1Y1.75%
FCF growth 3Y1.5%
FCF growth 5Y2.55%
OCF growth 1Y0.83%
OCF growth 3Y1.36%
OCF growth 5Y2.24%