The U.S. FDA approved Juul’s e-cigarettes, impacting Altria as it holds no position in Juul but owns the NJOY brand. Altria saw a 13.4% YTD stock increase and boasts a $99 billion market cap with a 6.9% dividend yield. Altria’s earnings and revenue growth over the past 10 years have been unremarkable.

In Q1, Altria reported a 5.7% decline in net revenues, offset by a 6% rise in adjusted earnings. Marlboro cigarette shipments dropped by 13.3%, while NJOY consumables increased by 23.9%. Altria’s cash balance at quarter-end was $4.73 billion, exceeding its $2.6 billion short-term debt.

Altria anticipates earnings of $5.30 to $5.45 per share in 2025, with growth potential from its On! nicotine pouch brand. On! pouches’ market share rose to 8.8%, with sales volumes up 18%. Despite setbacks with Juul and IQOS, Altria is exploring new products like Ploom and SWIC in the reduced-risk tobacco market.

Analysts rate MO stock as a “Hold” with a mean target price of $57.73, surpassing the current price. The high target price of $65 suggests an 8% upside potential. Out of 14 analysts, four rate the stock as a “Strong Buy,” eight as a “Hold,” one as a “Moderate Sell,” and one as a “Strong Sell.”

Read more at Yahoo Finance: The FDA Just Approved Juul’s E-Cigarettes. Does That Make Altria Stock a Buy Here?