ALTRIA GROUP INC (MO) Stock Fundamental Analysis
NYSE:MO • US02209S1033
66.54 USD
-0.71 (-1.06%)
At close: Feb 17, 2026
66.5401 USD
0 (0%)
After Hours: 2/17/2026, 7:03:34 PM
MO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 8 industry peers in the Tobacco industry. While MO has a great profitability rating, there are some minor concerns on its financial health. MO is cheap, but on the other hand it scores bad on growth. MO also has an excellent dividend rating. These ratings would make MO suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- In the past year MO was profitable.
- MO had a positive operating cash flow in the past year.
- MO had positive earnings in each of the past 5 years.
- Each year in the past 5 years MO had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of MO (19.78%) is better than 100.00% of its industry peers.
- With an excellent Return On Invested Capital value of 36.66%, MO belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for MO is significantly above the industry average of 14.29%.
- The 3 year average ROIC (35.30%) for MO is below the current ROIC(36.66%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.78% | ||
| ROE | N/A | ||
| ROIC | 36.66% |
ROA(3y)24.25%
ROA(5y)18.91%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)35.3%
ROIC(5y)33.77%
1.3 Margins
- With an excellent Profit Margin value of 29.75%, MO belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- MO's Profit Margin has improved in the last couple of years.
- MO has a Operating Margin of 52.06%. This is amongst the best in the industry. MO outperforms 100.00% of its industry peers.
- In the last couple of years the Operating Margin of MO has grown nicely.
- Looking at the Gross Margin, with a value of 62.37%, MO is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- MO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 52.06% | ||
| PM (TTM) | 29.75% | ||
| GM | 62.37% |
OM growth 3Y3.02%
OM growth 5Y2.91%
PM growth 3Y9.1%
PM growth 5Y11.78%
GM growth 3Y3.44%
GM growth 5Y3.94%
2. Health
2.1 Basic Checks
- MO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- MO has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, MO has less shares outstanding
- Compared to 1 year ago, MO has a worse debt to assets ratio.
2.2 Solvency
- MO has an Altman-Z score of 4.87. This indicates that MO is financially healthy and has little risk of bankruptcy at the moment.
- MO's Altman-Z score of 4.87 is amongst the best of the industry. MO outperforms 87.50% of its industry peers.
- MO has a debt to FCF ratio of 2.83. This is a good value and a sign of high solvency as MO would need 2.83 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 2.83, MO belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 4.87 |
ROIC/WACC4.25
WACC8.62%
2.3 Liquidity
- MO has a Current Ratio of 0.65. This is a bad value and indicates that MO is not financially healthy enough and could expect problems in meeting its short term obligations.
- MO's Current ratio of 0.65 is on the low side compared to the rest of the industry. MO is outperformed by 87.50% of its industry peers.
- MO has a Quick Ratio of 0.65. This is a bad value and indicates that MO is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of MO (0.53) is worse than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 5.65% over the past year.
- The Earnings Per Share has been growing slightly by 4.45% on average over the past years.
- The Revenue has decreased by -3.08% in the past year.
- The Revenue has been decreasing by -2.30% on average over the past years.
EPS 1Y (TTM)5.65%
EPS 3Y3.84%
EPS 5Y4.45%
EPS Q2Q%0.78%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y-2.47%
Revenue growth 5Y-2.3%
Sales Q2Q%14.49%
3.2 Future
- MO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.59% yearly.
- The Revenue is expected to grow by 0.91% on average over the next years.
EPS Next Y5.97%
EPS Next 2Y4.93%
EPS Next 3Y4.56%
EPS Next 5Y3.59%
Revenue Next Year0.27%
Revenue Next 2Y0.34%
Revenue Next 3Y0.39%
Revenue Next 5Y0.91%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 12.28 indicates a correct valuation of MO.
- MO's Price/Earnings ratio is rather cheap when compared to the industry. MO is cheaper than 87.50% of the companies in the same industry.
- MO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.16.
- MO is valuated reasonably with a Price/Forward Earnings ratio of 11.59.
- MO's Price/Forward Earnings ratio is rather cheap when compared to the industry. MO is cheaper than 87.50% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of MO to the average of the S&P500 Index (28.10), we can say MO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.28 | ||
| Fwd PE | 11.59 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MO is valued cheaper than 87.50% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, MO is valued cheaply inside the industry as 87.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.28 | ||
| EV/EBITDA | 10.81 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of MO may justify a higher PE ratio.
PEG (NY)2.06
PEG (5Y)2.76
EPS Next 2Y4.93%
EPS Next 3Y4.56%
5. Dividend
5.1 Amount
- MO has a Yearly Dividend Yield of 6.33%, which is a nice return.
- Compared to an average industry Dividend Yield of 3.25, MO pays a better dividend. On top of this MO pays more dividend than 100.00% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, MO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.33% |
5.2 History
- The dividend of MO has a limited annual growth rate of 4.09%.
- MO has paid a dividend for at least 10 years, which is a reliable track record.
- MO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.09%
Div Incr Years15
Div Non Decr Years15
5.3 Sustainability
- 100.49% of the earnings are spent on dividend by MO. This is not a sustainable payout ratio.
- MO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP100.49%
EPS Next 2Y4.93%
EPS Next 3Y4.56%
66.54
-0.71 (-1.06%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)01-29 2026-01-29/bmo
Earnings (Next)04-30 2026-04-30/bmo
Inst Owners62.64%
Inst Owner Change0.43%
Ins Owners0.06%
Ins Owner Change-0.15%
Market Cap111.41B
Revenue(TTM)23.28B
Net Income(TTM)6.93B
Analysts73.33
Price Target63.68 (-4.3%)
Short Float %2.64%
Short Ratio4.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.33% |
Yearly Dividend4.14
Dividend Growth(5Y)4.09%
DP100.49%
Div Incr Years15
Div Non Decr Years15
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.51%
Min EPS beat(2)-4.24%
Max EPS beat(2)-2.79%
EPS beat(4)2
Avg EPS beat(4)-1.39%
Min EPS beat(4)-4.24%
Max EPS beat(4)0.84%
EPS beat(8)2
Avg EPS beat(8)-2.16%
EPS beat(12)2
Avg EPS beat(12)-2.43%
EPS beat(16)2
Avg EPS beat(16)-2.44%
Revenue beat(2)1
Avg Revenue beat(2)4.32%
Min Revenue beat(2)-3.97%
Max Revenue beat(2)12.62%
Revenue beat(4)1
Avg Revenue beat(4)0.7%
Min Revenue beat(4)-4.94%
Max Revenue beat(4)12.62%
Revenue beat(8)1
Avg Revenue beat(8)-1.17%
Revenue beat(12)1
Avg Revenue beat(12)-2.25%
Revenue beat(16)5
Avg Revenue beat(16)2.3%
PT rev (1m)0.27%
PT rev (3m)-1.41%
EPS NQ rev (1m)-0.72%
EPS NQ rev (3m)-0.94%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)-0.42%
Revenue NQ rev (1m)0.32%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.41%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.28 | ||
| Fwd PE | 11.59 | ||
| P/S | 4.79 | ||
| P/FCF | 12.28 | ||
| P/OCF | 11.99 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.81 |
EPS(TTM)5.42
EY8.15%
EPS(NY)5.74
Fwd EY8.63%
FCF(TTM)5.42
FCFY8.14%
OCF(TTM)5.55
OCFY8.34%
SpS13.9
BVpS-2.09
TBVpS-12.64
PEG (NY)2.06
PEG (5Y)2.76
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.78% | ||
| ROE | N/A | ||
| ROCE | 46.86% | ||
| ROIC | 36.66% | ||
| ROICexc | 44.33% | ||
| ROICexgc | 254.47% | ||
| OM | 52.06% | ||
| PM (TTM) | 29.75% | ||
| GM | 62.37% | ||
| FCFM | 38.98% |
ROA(3y)24.25%
ROA(5y)18.91%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)35.3%
ROIC(5y)33.77%
ROICexc(3y)41.21%
ROICexc(5y)39.44%
ROICexgc(3y)277.4%
ROICexgc(5y)214.96%
ROCE(3y)45.12%
ROCE(5y)43.16%
ROICexgc growth 3Y22.46%
ROICexgc growth 5Y33.91%
ROICexc growth 3Y4.85%
ROICexc growth 5Y9.92%
OM growth 3Y3.02%
OM growth 5Y2.91%
PM growth 3Y9.1%
PM growth 5Y11.78%
GM growth 3Y3.44%
GM growth 5Y3.94%
F-Score6
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.83 | ||
| Debt/EBITDA | 1.95 | ||
| Cap/Depr | 81.2% | ||
| Cap/Sales | 0.93% | ||
| Interest Coverage | 10.88 | ||
| Cash Conversion | 75% | ||
| Profit Quality | 131.01% | ||
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 4.87 |
F-Score6
WACC8.62%
ROIC/WACC4.25
Cap/Depr(3y)67.64%
Cap/Depr(5y)72.58%
Cap/Sales(3y)0.77%
Cap/Sales(5y)0.76%
Profit Quality(3y)106.56%
Profit Quality(5y)158.79%
High Growth Momentum
Growth
EPS 1Y (TTM)5.65%
EPS 3Y3.84%
EPS 5Y4.45%
EPS Q2Q%0.78%
EPS Next Y5.97%
EPS Next 2Y4.93%
EPS Next 3Y4.56%
EPS Next 5Y3.59%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y-2.47%
Revenue growth 5Y-2.3%
Sales Q2Q%14.49%
Revenue Next Year0.27%
Revenue Next 2Y0.34%
Revenue Next 3Y0.39%
Revenue Next 5Y0.91%
EBIT growth 1Y3.26%
EBIT growth 3Y0.47%
EBIT growth 5Y0.54%
EBIT Next Year5.06%
EBIT Next 3Y1.65%
EBIT Next 5Y2.14%
FCF growth 1Y5.38%
FCF growth 3Y4.07%
FCF growth 5Y2.16%
OCF growth 1Y6.14%
OCF growth 3Y4.01%
OCF growth 5Y2.07%
ALTRIA GROUP INC / MO FAQ
What is the fundamental rating for MO stock?
ChartMill assigns a fundamental rating of 6 / 10 to MO.
Can you provide the valuation status for ALTRIA GROUP INC?
ChartMill assigns a valuation rating of 7 / 10 to ALTRIA GROUP INC (MO). This can be considered as Undervalued.
How profitable is ALTRIA GROUP INC (MO) stock?
ALTRIA GROUP INC (MO) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for MO stock?
The Price/Earnings (PE) ratio for ALTRIA GROUP INC (MO) is 12.28 and the Price/Book (PB) ratio is -31.81.
Can you provide the financial health for MO stock?
The financial health rating of ALTRIA GROUP INC (MO) is 5 / 10.