Why Altria Is Poised to Outperform

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, tobacco giant Altria has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Altria and see what CAPS investors are saying about the stock right now.

Altria facts

Headquarters (founded)

Richmond, Va. (1919)

Market Cap

$69.5 billion

Industry

Tobacco

Trailing-12-Month Revenue

$17.5 billion

Management

Chairman/CEO Martin Barrington

President/COO David Beran

Return on Capital (average, past 3 years)

25.2%

Cash/Debt

$2.9 billion/$13.9 billion

Dividend Yield

5.1%

Competitors

Lorillard

Reynolds American


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96% of the 8,967 members who have rated Altria believe the stock will outperform the S&P 500 going forward.

Earlier this year, one of those Fools, brenoboyle, succinctly summed up the Altria bull case for our community:

Excellent dividend yield, pricing power has led to consistent shareholder returns over time. Most attractively priced relative to peers and 27% voting interest in SABMiller that the market does not seem to be giving credit for.

Altria has been the best-performing stock of the past 50 years, but as the number of smokers in the U.S. continues to steadily decline, is Altria still a buy today? To find out whether everyone's love-to-hate dividend stock is a savvy investment choice or a hazard to your portfolio, simply click here now for access to The Motley Fool's new premium research report on the company.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article Why Altria Is Poised to Outperform originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned, and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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