Major Investors Exit Altria Despite Compelling Valuation

A significant divergence is emerging for Altria Group, the company behind Marlboro cigarettes. While corporate leadership commits billions to share repurchases and the stock trades near historic valuation lows, institutional heavyweights are quietly reducing their exposure. This creates a puzzling scenario: the tobacco giant appears fundamentally inexpensive, yet professional investors are heading for the exits, raising questions about potential unseen risks.

The company’s latest quarterly report presented a mixed picture. Although earnings per share came in at $1.45, slightly surpassing estimates of $1.44, the top line disappointed. Revenue of $5.25 billion represented a 3.0% year-over-year decline and fell short of the Read more...