Jenks Jumps • 292 Comments
Jenks Jumps • 292 Comments
Fri, Jun. 24, 1:22 PM
- U.S. tobacco stocks are higher, bucking today's broad downturn, as investors view the group as a relatively safe haven in a risk-off environment.
- Shares of Altria (MO +2.2%), the no. 1 U.S. cigarette maker, hit a 52-week high of $67.98 earlier and continue to sport solid gains, and Reynolds American (RAI +1.8%) remains strong after touching a more than three-month high of $51.84.
- "With Brexit potentially delaying a rate hike in the U.S., this move likely favors our higher-yielding names, and in particular U.S. tobacco (RAI and MO)," according to analysts at Cowen.
- However, Philip Morris International (PM -3%), which generated more than a third of its revenue from the European Union last year, is sharply lower.
Mon, May 9, 8:23 AM
- Argus upgrades Altria (NYSE:MO) to a Buy rating after having the tobacco stock lined up at Hold.
- The investment firm sets a price target of $68 which stands above Altria's 52-week high of $64.16.
- Naturally, Altra is a favorite of income investors. The dividend yield on Altria now stands at 3.59%. SA contributor Alberto Abaterusso notes the company has $3.8B in cash to help back its generous dividend and buyback programs.
- MO +0.57% premarket to $63.29.
Thu, Mar. 24, 8:41 AM
- Alongside an earlier upgrade to Buy for Philip Morris, BAML analyst Lisa Lewandowski pulls her Buy rating on Altria (NYSE:MO), citing a "stretched" P/E multiple. The stock remains a Hold, with Lewandowski noting positives like its defensive nature, quality fundamentals, commitment to shareholders, and high market share.
- The price target for Altria remains $66. The stock's lower by 1.25% premarket to $60.65.
- A check of the scorecard finds PM higher by 10.4% this year vs. MO's 5.5% gain. On a Y/Y basis, PM is up 22.2% vs. MO's 19.4% advance.
- Previously: Philip Morris boosted to Buy at Merrill (March 24)
Mon, Jan. 25, 12:00 PM
- Tobacco stocks and soft drinks names are mild outperformers on the day.
- Despite soft consumer spending trends, some retail analysts think 2016 sales for beer, cigarettes, and soft drinks will pick up in the U.S. as gas prices remain at low levels.
- Gainers today on a down market day include Dr. Pepper Snapple (DPS +1%), PepsiCo (PEP +0.7%), Coca-Cola (KO +0.7%), Coca-Cola Bottling Company (COKE +2.6%), Coca-Cola Enterprises (CCE +1.1%), Reynolds American (RAI +1.7%), Altrai (MO +1%), Philip Morris (PM +0.5%), and Anheuser-Busch InBev (BUD +0.7%).
- Speculation that anti-soda and cigarette advocate Michael Bloomberg might run for president doesn't appear to be creating even a ripple of worry.
- Previously: Michael Bloomberg is seriously considering running for president (Jan. 23 2016)
Oct. 29, 2015, 7:28 AM
- Altria (NYSE:MO) reports total smokeable products volume rose 0.1% in Q3.
- Discount brands led the growth with a 10% gain in volume. Marlboro volume was down 0.7% during the quarter. Cigar volume rose 1.2%.
- The company's smokeable product market share rose 40 bps to 51.3%. Cigar market share fell 70 bps to 28.6%.
- Altria reiterates 2016 EPS of $2.76 to $2.81 vs. $2.82 consensus.
- Previously: Altria EPS in-line, beats on revenue (Oct. 29 2015)
- MO +0.75% premarket to $61.90.
Sep. 15, 2015, 11:23 AM
- Shares of SABMiller (OTCPK:SBMRY +2.2%) trade higher with some speculation making the rounds indicating Altria (MO +1.7%) pulled out of a Bank of America Merrill Lynch conference to follow up on a similar action by Anheuser-Busch InBev (BUD +0.2%).
- A takeover of SABMiller by Anheuser-Busch InBev would benefit Altria with the tobacco company holding a 28% stake in SABMiller
Jan. 30, 2015, 7:46 AM
- Altria (NYSE:MO) reports cigarette volume fell 1.7% to 31.342B in Q4.
- Volume for the Marlboro brand was down 1.9% to 26.947B, while market share remained level at 43.8%.
- Cigar volume +3.9% to 319M.
- Altria's smokeless products segment saw revenue rise 4.3% off of higher volume and pricing.
- 2015 guidance: Full-year EPS expected to grow 7%-9% to $2.75-$2.80.
- MO -1.5% premarket.
Aug. 6, 2014, 10:00 AM
- Tobacco stocks are higher today in what analysts are calling a defensive move by investors.
- There's also been some stronger pricing trends on the lower-end of the cigarette market that has helped to boost the outlook on the group.
- Gainers: Philip Morris (PM +2.2%), Reynolds American (RAI +1.6%), Vector Group (VGR +1.4%), and Altrai (MO +1.9%).
Jul. 15, 2014, 10:53 AM
- Tobacco stocks slump as a group after Lorillard doesn't catch the premium in the Reynolds American buyout that some anticipated.
- Even Imperial Tobacco which ended up with the hot Blu e-cigarette brand as part of the deal is having trouble shaking off the pessimism.
- Decliners: Lorillard (NYSE:LO) -7.9%, Philip Morris (NYSE:PM) -1.3%, Altria (NYSE:MO) -2.1%, Vector Group (NYSE:VGR) -0.8%, Reynolds American (NYSE:RAI) -4.0%, Imperial Tobacco (OTCMKTS:ITYBY) -2.8%, British American Tobacco (NYSEMKT:BTI) -1.4%.
Jul. 23, 2013, 1:31 PMWeakness in Reynolds America (RAI -2.3%), Altria (MO -2.6%), and Lorillard (LO -4.3%) following FDA guidance on the dangers of menthol cigarettes is likely a buying opportunity Wells Fargo says. The language used by the FDA is "somewhat softer than the menthol language from TPSAC's recommendation," analyst Bonnie Herzog notes, adding that this suggests "a ban is very unlikely." Asked about the report on this morning's call, MO CEO Martin Barrington said: "I heard about the headline when I walked into the room and was focused on the call, so I haven't looked at any of this." (Also: MO earnings, CC transcript) | Jul. 23, 2013, 1:31 PM | 3 Comments
Jul. 23, 2013, 12:09 PM
Cigarette makers sink after the FDA says menthol in cigarettes appears to pose a greater health threat than regular cigarettes and indicates it plans to issue rules based on its findings. The agency says menthol could make young people more likely to smoke by reducing the irritation and harshness of cigarette smoke. Menthol comprises ~30% of the cigarette market. LO -4.2%, RAI -2.6%, MO -2.5%.| Jul. 23, 2013, 12:09 PM | 16 Comments
May 29, 2013, 12:46 PMTobacco stocks trade lower as higher Treasury yields are taking just a bit of the shine off the group as a good dividend income play. Decliners: Altra (MO) -2.1%, Reynold American (RAI) -2.2%, Lorillard (LO) -2%; Vector Group (VGR) -1.7%, Philip Morris (MO) -1.8%, British American Tobacco -2.3%. | May 29, 2013, 12:46 PM | 5 Comments
Apr. 25, 2013, 9:00 AM
Shares of Altria (MO) move up 1% premarket after the the cigarette maker shows a gain in market share and profitability in Q1. Though overall cigarette shipments were down again, the company made some progress with discount brands and smokeless products. Naturally, buybacks are again a focus with Altria highlighting a new $300M share repurchase program. (PR)| Apr. 25, 2013, 9:00 AM | 3 Comments
Mar. 6, 2013, 10:04 AMTobacco stocks struggle after the U.K. is reported to be looking at adopting packaging laws similar to the measures Australia instituted last year. In London, Imperial Tobacco (ITYBY.PK) and British American Tobacco (BTI -1.5%) started the day off weak, while stateside Reynolds American (RAI -2.1%), Lorillard (LO -0.8%) and Altria (MO -0.1%) are underperforming. | Mar. 6, 2013, 10:04 AM | 7 Comments
Oct. 25, 2012, 8:57 AM
Shares of Altria (MO) gain 1.1% in premarket action as the company proves itself resourceful in squeezing more profits out of its tobacco business. The company saw some success with new lower-priced products from its Marlboro brand during the quarter. As for its buyback program, Altria says $550M remains unused with a target date of the end of Q2 for completion.| Oct. 25, 2012, 8:57 AM | 1 Comment
Oct. 18, 2012, 10:57 AM
Tobacco stocks slump after the Q3 report from Philip Morris (PM -2.9%) comes in sluggish. Despite higher prices, the industry is having trouble keeping demand up as governments start to enact stricter packaging and marketing rules across the globe. Decliners: British American (BTI -0.7%) -0.7%, Lorillard (LO -0.3%) -0.5%, Reynolds American (RAI -0.6%) -0.7%, Altria (MO -1%) -1.1%.| Oct. 18, 2012, 10:57 AM