ALTRIA GROUP INC (MO) Stock Fundamental Analysis
NYSE:MO • US02209S1033
67.57 USD
-0.42 (-0.62%)
At close: Feb 20, 2026
67.4 USD
-0.17 (-0.25%)
Pre-Market: 2/23/2026, 8:10:07 AM
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. Finally MO also has an excellent dividend rating. These ratings would make MO suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- MO had positive earnings in the past year.
- MO had a positive operating cash flow in the past year.
- In the past 5 years MO has always been profitable.
- Each year in the past 5 years MO had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 19.78%, MO belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- MO's Return On Invested Capital of 36.66% is amongst the best of the industry. MO outperforms 100.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MO is significantly above the industry average of 14.29%.
- The last Return On Invested Capital (36.66%) for MO is above the 3 year average (35.30%), which is a sign of increasing profitability.
| 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.
- In the last couple of years the Profit Margin of MO has grown nicely.
- MO has a better Operating Margin (52.06%) than 100.00% of its industry peers.
- MO's Operating Margin has improved in the last couple of years.
- With a decent Gross Margin value of 62.37%, MO is doing good in the industry, outperforming 75.00% 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 | 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.
- The number of shares outstanding for MO has been reduced compared to 5 years ago.
- The debt/assets ratio for MO is higher compared to a year ago.
2.2 Solvency
- MO has an Altman-Z score of 4.88. This indicates that MO is financially healthy and has little risk of bankruptcy at the moment.
- MO's Altman-Z score of 4.88 is amongst the best of the industry. MO outperforms 87.50% of its industry peers.
- The Debt to FCF ratio of MO is 2.83, which is a good value as it means it would take MO, 2.83 years of fcf income to pay off all of its debts.
- MO has a better Debt to FCF ratio (2.83) than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 4.88 |
ROIC/WACC4.18
WACC8.78%
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 has a Current ratio of 0.65. This is amonst the worse of the industry: MO underperforms 87.50% of its industry peers.
- A Quick Ratio of 0.53 indicates that MO may have some problems paying its short term obligations.
- MO's Quick ratio of 0.53 is on the low side compared to the rest of the industry. MO is outperformed by 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
- MO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.65%.
- Measured over the past 5 years, MO shows a small growth in Earnings Per Share. The EPS has been growing by 4.45% on average per year.
- 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
- MO is valuated correctly with a Price/Earnings ratio of 12.47.
- Compared to the rest of the industry, the Price/Earnings ratio of MO indicates a rather cheap valuation: MO is cheaper than 100.00% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 26.99, MO is valued rather cheaply.
- A Price/Forward Earnings ratio of 11.76 indicates a reasonable valuation of MO.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of MO indicates a rather cheap valuation: MO is cheaper than 87.50% of the companies listed in the same industry.
- MO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.02.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.47 | ||
| Fwd PE | 11.76 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MO is valued cheaply inside the industry as 87.50% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, MO is valued cheaper than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.47 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- MO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.09
PEG (5Y)2.8
EPS Next 2Y4.93%
EPS Next 3Y4.56%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 6.33%, MO is a good candidate for dividend investing.
- MO's Dividend Yield is rather good when compared to the industry average which is at 3.23. MO pays more dividend than 100.00% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, 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 been paying a dividend for at least 10 years, so it has 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%
67.57
-0.42 (-0.62%)
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 Change0.18%
Ins Owners0.06%
Ins Owner Change0.46%
Market Cap113.13B
Revenue(TTM)23.28B
Net Income(TTM)6.93B
Analysts73.33
Price Target63.68 (-5.76%)
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%
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)0.42%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.47 | ||
| Fwd PE | 11.76 | ||
| P/S | 4.86 | ||
| P/FCF | 12.47 | ||
| P/OCF | 12.18 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.85 |
EPS(TTM)5.42
EY8.02%
EPS(NY)5.74
Fwd EY8.5%
FCF(TTM)5.42
FCFY8.02%
OCF(TTM)5.55
OCFY8.21%
SpS13.9
BVpS-2.09
TBVpS-12.64
PEG (NY)2.09
PEG (5Y)2.8
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 | 4.88 |
F-Score6
WACC8.78%
ROIC/WACC4.18
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 12.47 and the Price/Book (PB) ratio is -32.31.
Can you provide the financial health for MO stock?
The financial health rating of ALTRIA GROUP INC (MO) is 5 / 10.