US02209S1033 - Common Stock

We assign a fundamental rating of **6** out of 10 to **MO**. **MO** was compared to 10 industry peers in the **Tobacco** industry. **MO** scores excellent on profitability, but there are some minor concerns on its financial health. **MO** has a bad growth rate and is valued cheaply. Finally **MO** also has an excellent dividend rating. With these ratings, **MO** could be worth investigating further for value and dividend investing!.

In the past year **MO** was profitable.

In the past 5 years **MO** always reported a positive cash flow from operatings.

The **Return On Invested Capital** of **MO** (**33.36%**) is better than **90.00%** of its industry peers.

The last **Return On Invested Capital** (**33.36%**) for **MO** is above the 3 year average (**31.67%**), which is a sign of increasing profitability.

Industry Rank | Sector Rank | ||
---|---|---|---|

ROA | 21.03% | ||

ROE | N/A | ||

ROIC | 33.36% |

ROA(3y)14.28%

ROA(5y)9.92%

ROE(3y)N/A

ROE(5y)N/A

ROIC(3y)31.67%

ROIC(5y)27.63%

With an excellent **Operating Margin** value of **48.72%**, **MO** belongs to the best of the industry, outperforming **100.00%** of the companies in the same industry.

With a decent **Gross Margin** value of **58.14%**, **MO** is doing good in the industry, outperforming **80.00%** of the companies in the same industry.

In the last couple of years the **Gross Margin** of **MO** has grown nicely.

Industry Rank | Sector Rank | ||
---|---|---|---|

OM | 48.72% | ||

PM (TTM) | 33.14% | ||

GM | 58.14% |

OM growth 3Y2.54%

OM growth 5Y4.74%

PM growth 3Y24.8%

PM growth 5Y3.86%

GM growth 3Y4.09%

GM growth 5Y3.42%

With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), **MO** is creating value.

The number of shares outstanding for **MO** has been reduced compared to 1 year ago.

The debt/assets ratio for **MO** has been reduced compared to a year ago.

Looking at the **Debt to FCF ratio**, with a value of **2.89**, **MO** belongs to the top of the industry, outperforming **90.00%** of the companies in the same industry.

Industry Rank | Sector Rank | ||
---|---|---|---|

Debt/Equity | N/A | ||

Debt/FCF | 2.89 | ||

Altman-Z | 3.66 |

ROIC/WACC4.35

WACC7.66%

A Current Ratio of **0.49** indicates that **MO** may have some problems paying its short term obligations.

With a **Quick ratio** value of **0.39**, **MO** is not doing good in the industry: **80.00%** of the companies in the same industry are doing better.

Industry Rank | Sector Rank | ||
---|---|---|---|

Current Ratio | 0.49 | ||

Quick Ratio | 0.39 |

Looking at the last year, **MO** shows a decrease in **Revenue**. The Revenue has decreased by **-2.44%** in the last year.

EPS 1Y (TTM)2.27%

EPS 3Y4.32%

EPS 5Y4.41%

EPS growth Q2Q0%

Revenue 1Y (TTM)-2.44%

Revenue growth 3Y-2.18%

Revenue growth 5Y-0.7%

Revenue growth Q2Q-2.23%

Based on estimates for the next years, **MO** will show a small growth in **Earnings Per Share**. The EPS will grow by **4.76%** on average per year.

Based on estimates for the next years, **MO** will show a small growth in **Revenue**. The Revenue will grow by **1.43%** on average per year.

EPS Next Y5.34%

EPS Next 2Y4.8%

EPS Next 3Y4.55%

EPS Next 5Y4.76%

Revenue Next Year0.01%

Revenue Next 2Y0.44%

Revenue Next 3Y0.67%

Revenue Next 5Y1.43%

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.

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.

The **Price/Forward Earnings** ratio is **8.23**, which indicates a very decent valuation of **MO**.

80.00% of the companies in the same industry are more expensive than **MO**, based on the **Price/Forward Earnings** ratio.

The average S&P500 **Price/Forward Earnings** ratio is at **21.67**. **MO** is valued rather cheaply when compared to this.

Industry Rank | Sector Rank | ||
---|---|---|---|

PE | 8.67 | ||

Fwd PE | 8.23 |

The rest of the industry has a similar **Enterprise Value to EBITDA** ratio as **MO**.

Compared to the rest of the industry, the **Price/Free Cash Flow** ratio of **MO** indicates a rather cheap valuation: **MO** is cheaper than 90.00% of the companies listed in the same industry.

Industry Rank | Sector Rank | ||
---|---|---|---|

P/FCF | 8.11 | ||

EV/EBITDA | 7.89 |

The **PEG Ratio(NY)**, which compensates the Price/Earnings for growth, indicates a correct valuation of the company.

The excellent profitability rating of **MO** may justify a higher PE ratio.

PEG (NY)1.62

PEG (5Y)1.97

EPS Next 2Y4.8%

EPS Next 3Y4.55%

With a **Yearly Dividend Yield** of **9.49%**, **MO** is a good candidate for dividend investing.

Compared to an average S&P500 **Dividend Yield** of **2.45**, **MO** pays a better dividend.

Industry Rank | Sector Rank | ||
---|---|---|---|

Dividend Yield | 9.49% |

The dividend of **MO** has a limited annual growth rate of **5.89%**.

Dividend Growth(5Y)5.89%

Div Incr Years14

Div Non Decr Years14

The dividend of **MO** is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.

DP83.56%

EPS Next 2Y4.8%

EPS Next 3Y4.55%

**ALTRIA GROUP INC**

NYSE:MO (4/24/2024, 9:15:09 PM)

After market: 43.09 +0.17 (+0.4%)**42.92**

**+0.05 (+0.12%) **

Chartmill FA Rating

GICS SectorConsumer Staples

GICS IndustryGroupFood, Beverage & Tobacco

GICS IndustryTobacco

Earnings (Last)

Earnings (Next)

Inst Owners

Inst Owner Change

Ins Owners

Ins Owner Change

Market Cap73.72B

Analysts

Price Target

Dividend

Industry Rank | Sector Rank | ||
---|---|---|---|

Dividend Yield | 9.49% |

Dividend Growth(5Y)

DP

Div Incr Years

Div Non Decr Years

Ex-Date

Surprises & Revisions

EPS beat(2)

Avg EPS beat(2)

Min EPS beat(2)

Max EPS beat(2)

EPS beat(4)

Avg EPS beat(4)

Min EPS beat(4)

Max EPS beat(4)

EPS beat(8)

Avg EPS beat(8)

EPS beat(12)

Avg EPS beat(12)

EPS beat(16)

Avg EPS beat(16)

Revenue beat(2)

Avg Revenue beat(2)

Min Revenue beat(2)

Max Revenue beat(2)

Revenue beat(4)

Avg Revenue beat(4)

Min Revenue beat(4)

Max Revenue beat(4)

Revenue beat(8)

Avg Revenue beat(8)

Revenue beat(12)

Avg Revenue beat(12)

Revenue beat(16)

Avg Revenue beat(16)

PT rev (1m)

PT rev (3m)

EPS NQ rev (1m)

EPS NQ rev (3m)

EPS NY rev (1m)

EPS NY rev (3m)

Revenue NQ rev (1m)

Revenue NQ rev (3m)

Revenue NY rev (1m)

Revenue NY rev (3m)

Valuation

Industry Rank | Sector Rank | ||
---|---|---|---|

PE | 8.67 | ||

Fwd PE | 8.23 | ||

P/S | |||

P/FCF | |||

P/OCF | |||

P/B | |||

P/tB | |||

EV/EBITDA |

EPS(TTM)

EY

EPS(NY)

Fwd EY

FCF(TTM)

FCFY

OCF(TTM)

OCFY

SpS

BVpS

TBVpS

PEG (NY)1.62

PEG (5Y)1.97

Profitability

Industry Rank | Sector Rank | ||
---|---|---|---|

ROA | 21.03% | ||

ROE | N/A | ||

ROCE | |||

ROIC | |||

ROICexc | |||

ROICexgc | |||

OM | 48.72% | ||

PM (TTM) | 33.14% | ||

GM | 58.14% | ||

FCFM |

ROA(3y)

ROA(5y)

ROE(3y)

ROE(5y)

ROIC(3y)

ROIC(5y)

ROICexc(3y)

ROICexc(5y)

ROICexgc(3y)

ROICexgc(5y)

ROCE(3y)

ROCE(5y)

ROICexcg growth 3Y

ROICexcg growth 5Y

ROICexc growth 3Y

ROICexc growth 5Y

OM growth 3Y

OM growth 5Y

PM growth 3Y

PM growth 5Y

GM growth 3Y

GM growth 5Y

F-Score

Asset Turnover0.63

Health

Industry Rank | Sector Rank | ||
---|---|---|---|

Debt/Equity | N/A | ||

Debt/FCF | |||

Debt/EBITDA | |||

Cap/Depr | |||

Cap/Sales | |||

Interest Coverage | |||

Cash Conversion | |||

Profit Quality | |||

Current Ratio | 0.49 | ||

Quick Ratio | 0.39 | ||

Altman-Z |

F-Score

WACC

ROIC/WACC

Cap/Depr(3y)

Cap/Depr(5y)

Cap/Sales(3y)

Cap/Sales(5y)

Profit Quality(3y)

Profit Quality(5y)

Growth

EPS 1Y (TTM)2.27%

EPS 3Y4.32%

EPS 5Y

EPS growth Q2Q

EPS Next Y5.34%

EPS Next 2Y

EPS Next 3Y

EPS Next 5Y

Revenue 1Y (TTM)-2.44%

Revenue growth 3Y-2.18%

Revenue growth 5Y

Revenue growth Q2Q

Revenue Next Year

Revenue Next 2Y

Revenue Next 3Y

Revenue Next 5Y

EBIT growth 1Y

EBIT growth 3Y

EBIT growth 5Y

EBIT Next Year

EBIT Next 3Y

EBIT Next 5Y

FCF growth 1Y

FCF growth 3Y

FCF growth 5Y

OCF growth 1Y

OCF growth 3Y

OCF growth 5Y