Altria Stock Buy Hold or Sell Recommendation

MO -  USA Stock  

USD 51.09  2.11  3.97%

Allowing for the 90-day total investment horizon and your above-average risk tolerance, our recommendation regarding Altria Group is 'Buy'. Macroaxis provides Altria buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Altria positions. The advice algorithm takes into account all of Altria's available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from Altria's buy-and-hold perspective. Additionally, see Altria Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Altria and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Altria Group.

Execute Altria Buy or Sell Advice

The Altria recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Altria Group. Macroaxis does not own or have any residual interests in Altria Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Altria's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell AltriaBuy Altria
Buy

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

Fairly ValuedDetails

Odds of Distress

LowDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Analyst Consensus

HoldDetails

Financial Strenth (F Score)

StrongDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Possible ManipulatorDetails
For the selected time horizon Altria Group has a Risk Adjusted Performance of 0.0787, Jensen Alpha of 0.0603, Total Risk Alpha of 0.0283, Sortino Ratio of 0.0287 and Treynor Ratio of 0.1352
Our investment recommendation tool can be used to complement Altria trade advice provided by experts. It analyzes the company's potential to grow against your specific risk preferences and investment horizon. To make sure Altria is not overpriced, please confirm all Altria Group fundamentals, including its gross profit, short ratio, current liabilities, as well as the relationship between the total debt and market capitalization . Given that Altria Group has a price to earning of 34.20 X, we suggest you to validate Altria Group market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Altria Trading Alerts and Improvement Suggestions

The company reports 27.92 B of total liabilities with total debt to equity ratio (D/E) of 8.56, which implies that the company may not be able to produce enough cash to satisfy its debt commitments. Altria Group has a current ratio of 0.61, implying that it has not enough working capital to pay out debt commitments in time. Debt can assist Altria until it has trouble settling it off, either with new capital or with free cash flow. So, Altria's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Altria Group sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Altria to invest in growth at high rates of return. When we think about Altria's use of debt, we should always consider it together with cash and equity.
Altria Group has a strong financial position based on the latest SEC filings
About 60.0% of Altria shares are owned by institutional investors
Latest headline from www.marketwatch.com: Altria Group Inc. stock remains steady Friday, underperforms market - MarketWatch

Altria current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Altria analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Altria analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price56.98
Target Median Price56.80
Target High Price68.00
Recommendation Mean2.60
Number Of Analyst Opinions16
Target Low Price53.00
Average Consensus Hold
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Altria Returns Distribution Density

The distribution of Altria's historical returns is an attempt to chart the future uncertainty of Altria's future price movements. The chart of the probability distribution of Altria stock daily returns describes the distribution of returns around its average expected value. We use Altria Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Altria returns is essential to provide solid investment advice for Altria stock.
Mean Return0.10Value At Risk-2.15
Potential Upside2.16Standard Deviation1.45
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Altria historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Altria Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Altria is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Altria Group backward and forwards among themselves. Altria's institutional investor refers to the entity that pools money to purchase Altria's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Vanguard Group IncCommon Shares157.3 M8.2 B
Blackrock IncCommon Shares119.8 M6.3 B
Capital World InvestorsCommon Shares112.1 M5.9 B
State Street CorpCommon Shares70.5 M3.7 B
Fmr LlcCommon Shares51.7 M2.7 B
Charles Schwab Investment Management IncCommon Shares36.3 M1.9 B
Geode Capital Management LlcCommon Shares33.1 M1.7 B
Note, although Altria's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Altria Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(199 M)(238 M)(246 M)(231 M)(169 M)(182.34 M)
Depreciation Amortization and Accretion209 M227 M226 M257 M244 M259.47 M
Net Cash Flow or Change in Cash and Cash Equivalents(3.34 B)119 M727 M2.85 B(412 M)(422.84 M)
Net Cash Flow Business Acquisitions and Disposals(415 M)(12.81 B)(2.32 B)1.18 B1.06 B1.14 B
Issuance Purchase of Equity Shares(2.92 B)(1.67 B)(845 M)(1.68 B)(1.51 B)(1.63 B)
Payment of Dividends and Other Cash Distributions(4.81 B)(5.42 B)(6.07 B)(6.29 B)(6.45 B)(6.95 B)
Net Cash Flow from Financing(7.77 B)4.72 B(4.71 B)(5.4 B)(10.03 B)(10.29 B)
Net Cash Flow from Investing(467 M)(12.99 B)(2.4 B)(143 M)1.21 B1.31 B
Net Cash Flow from Operations4.9 B8.39 B7.84 B8.38 B8.4 B7.8 B

Altria Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Altria or Consumer Defensive sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Altria stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Altria stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.06
β
Beta against DOW0.69
σ
Overall volatility
1.43
Ir
Information ratio 0.0314

Altria Volatility Alert

Altria Group has relatively low volatility with skewness of -0.82 and kurtosis of 3.52. However, we advise all investors to independently investigate Altria Group to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Altria's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Altria's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Altria Implied Volatility

Altria's implied volatility exposes the market's sentiment of Altria Group stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Altria's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Altria stock will not fluctuate a lot when Altria's options are near their expiration.

Altria Fundamentals Vs Peers

Comparing Altria's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Altria's direct or indirect competition across all of the common fundamentals between Altria and the related equities. This way, we can detect undervalued stocks with similar characteristics as Altria or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Altria's fundamental indicators could also be used in its relative valuation, which is a method of valuing Altria by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Altria to competition
FundamentalsAltriaPeer Average
Return On Equity472.63 %(0.31) %
Return On Asset17.05 %(0.14) %
Profit Margin14.30 %(1.27) %
Operating Margin58.78 %(5.51) %
Current Valuation123.18 B16.62 B
Shares Outstanding1.84 B571.82 M
Shares Owned by Insiders0.07 %10.09 %
Shares Owned by Institutions60.03 %39.21 %
Number of Shares Shorted19.32 M4.71 M
Price to Earning34.20 X28.72 X
Price to Book29.78 X9.51 X
Price to Sales4.46 X11.42 X
Revenue21.05 B9.43 B
Gross Profit13.94 B27.38 B
EBITDA12.37 B3.9 B
Net Income3 B570.98 M
Cash and Equivalents5.35 B2.7 B
Cash per Share2.96 X5.01 X
Total Debt27.92 B5.32 B
Debt to Equity8.56 %48.70 %
Current Ratio0.62 X2.16 X
Book Value Per Share(0.69) X1.93 K
Cash Flow from Operations8.44 B971.22 M
Short Ratio2.44 X4.00 X
Earnings Per Share1.49 X3.12 X
Price to Earnings To Growth1.95 X4.89 X
Number of Employees6 K18.84 K
Beta0.61-0.15
Market Capitalization93.85 B19.03 B
Total Asset32.46 B29.47 B
Retained Earnings36.72 B9.33 B
Working Capital(992 M)1.48 B
Current Asset6.09 B9.34 B
   Acquisition by Ellen Strahlman of 527 shares of Altria subject to Rule 16b-3 [view details]

Altria Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Altria . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution375806.0
Daily Balance Of Power(1.76)
Rate Of Daily Change0.96
Day Median Price51.2
Day Typical Price51.16
Price Action Indicator(1.16)

About Altria Buy or Sell Advice

When is the right time to buy or sell Altria Group? Buying financial instruments such as Altria Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Altria investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Receivables152 M137 M157.55 M168.87 M
Inventories2.29 B1.97 B1.77 B1.78 B

Use Investing Ideas to Build Portfolios

In addition to having Altria in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Top FinTech Theme
High long term potential financial entities that are ranging from payment processing, investment management to commercial and investment banking. The Top FinTech theme has 77 constituents.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Top FinTech Theme or any other thematic opportunities.
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Additionally, see Altria Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Altria Group information on this page should be used as a complementary analysis to other Altria's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.

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When running Altria Group price analysis, check to measure Altria's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Altria is operating at the current time. Most of Altria's value examination focuses on studying past and present price action to predict the probability of Altria's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Altria's price. Additionally, you may evaluate how the addition of Altria to your portfolios can decrease your overall portfolio volatility.
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Is Altria's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Altria. If investors know Altria will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Altria listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Altria Group is measured differently than its book value, which is the value of Altria that is recorded on the company's balance sheet. Investors also form their own opinion of Altria's value that differs from its market value or its book value, called intrinsic value, which is Altria's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Altria's market value can be influenced by many factors that don't directly affect Altria's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Altria's value and its price as these two are different measures arrived at by different means. Investors typically determine Altria value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Altria's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.