ALTRIA GROUP, INC. (MO) Stock Analysis

Analysis from 10-Q filed 2025-10-30. Data as of Q2 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 38.2%. FCF margin 38.8%. D/E -9.2x. Source: 10-Q filed 2025-10-30.

Metric	Value	Context
ROIC	38.2%	Above industry average
FCF Margin	38.8%	Strong cash generation
Debt/Equity	-9.2x	Conservative leverage

ROIC 38.2% — Top 5% of sector peers. FCF margin 38.8% — Top 5%.

Explore ALTRIA GROUP, INC.: Earnings History | Filings

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for MO: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: ALTRIA GROUP, INC. earns 38.2% ROIC, Top 5% in Consumer Staples

ROIC TTM 38.2%, sector median 5.7%, Top 5%. DuPont: NOPAT margin 35.9% × asset turnover 0.7x. Gross margin 63.0%. Operating margin 46.8%. Source: 10-Q filed 2025-10-30.

Metric	MO	Rating	Context
Return on Invested Capital (ROIC)	38.2%	Excellent	Above sector median of 5.7%
Return on Equity (ROE)	-258.8%	Red flag	Moderate equity returns
Gross Margin	63.0%	Excellent	Strong pricing power
Operating Margin	46.8%	Excellent	Efficient operations

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Cash Flow: ALTRIA GROUP, INC. generates $9.1B FCF at 38.8% margin, positive NaN/8 quarters

FCF TTM $9.1B. FCF margin 38.8%, Top 5%. OCF/Net income 1.2x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-30.

Metric	MO	Rating	Context
Free Cash Flow Margin	38.8%	Excellent	Excellent cash conversion
Free Cash Flow (TTM)	$9.1B	Good	Positive cash generation
OCF/Net Income	1.2x	Excellent	High earnings quality
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet: ALTRIA GROUP, INC. at -9.2x leverage

Debt/Equity -9.2x. Total debt $24.6B, cash & investments $2.4B. Source: 10-Q filed 2025-10-30.

Metric	MO	Rating	Context
Debt to Equity	-9.2x	Excellent	Conservative capital structure
Net Cash Position	$-22.2B	Warning	Net debt position

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Valuation: ALTRIA GROUP, INC. trades at 15.2x earnings

P/E 15.2x. EV/Sales 5.5x. FCF yield 7.6%. Dividend yield 5.9%. Source: 10-Q filed 2025-10-30.

Metric	MO	Rating	Context
P/E Ratio	15.2x	Adequate	Reasonable valuation
EV/Sales	5.5x	Adequate	Growth premium priced in
FCF Yield	7.6%	Good	Attractive cash return
Dividend Yield	5.9%	Good	Meaningful income

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Capital Allocation: ALTRIA GROUP, INC. returns 6.5% shareholder yield

Total shareholder yield 6.5% (div 5.9% + buyback 0.6%). Capital returned $7.9B TTM. Source: 10-Q filed 2025-10-30.

Metric	MO	Rating	Context
Total Shareholder Yield	6.5%	Excellent	Dividend + buyback yield combined
Buyback Yield	0.6%	Adequate	Minimal buyback activity
Total Capital Returned (TTM)	$7.9B	Good	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	38.2%	Top 5%	6.7x above
Free Cash Flow Margin	38.8%	Top 5%	9.3x above
Gross Margin	63.0%	Top 5%	2.2x above
Operating Margin	46.8%	Top 5%	9.6x above
Return on Equity (ROE)	-258.8%	Top 5%	-35.6x below
P/E Ratio	15.2x	N/A	-

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Financial Scorecard

Metric	MO	Rating	Sector Context
Return on Invested Capital (ROIC)	38.2%	Excellent	Top 5% of sector (median: 5.7%)
Free Cash Flow Margin	38.8%	Excellent	Top 5% of sector (median: 4.2%)
Gross Margin	63.0%	Excellent	Top 5% of sector (median: 28.8%)
Debt to Equity Ratio	-921.2%	Excellent	Conservative capital structure
P/E Ratio (Price-to-Earnings)	15.2x	Adequate	Fair value
Free Cash Flow Yield	7.6%	Good	Solid cash yield

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Frequently Asked Questions

Q: What is ALTRIA GROUP, INC.'s Return on Invested Capital (ROIC)?

ALTRIA GROUP, INC. (MO) has a trailing twelve-month Return on Invested Capital (ROIC) of 38.2%. Sector median 5.7%. Source: 10-Q filed 2025-10-30.

Q: What is ALTRIA GROUP, INC.'s Free Cash Flow Margin?

ALTRIA GROUP, INC. (MO) has a free cash flow margin of 38.8%, generating $9.1 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-30.

Q: What is ALTRIA GROUP, INC.'s P/E ratio and how does it compare to peers?

ALTRIA GROUP, INC. (MO) trades at a P/E ratio of 15.2x, which is above the sector median of N/A. EV/Sales 5.5x. FCF yield 7.6%. Source: 10-Q filed 2025-10-30.

Q: Does ALTRIA GROUP, INC. pay a dividend?

ALTRIA GROUP, INC. (MO) currently pays a dividend yield of 5.9%. Total shareholder yield (dividend + buybacks) 6.5%. Source: 10-Q filed 2025-10-30.

Q: What is ALTRIA GROUP, INC.'s revenue and earnings growth?

ALTRIA GROUP, INC. (MO) declined revenue by 0.6% year-over-year. EPS -8.3% YoY. Source: 10-Q filed 2025-10-30.

Q: Is ALTRIA GROUP, INC. buying back stock?

ALTRIA GROUP, INC. (MO) repurchased $735.0 million of stock over the trailing twelve months. This represents a buyback yield of 0.6%. Source: 10-Q filed 2025-10-30.

Q: How does ALTRIA GROUP, INC. compare to competitors in Consumer Staples?

Compared to other companies in Consumer Staples, ALTRIA GROUP, INC. (MO) shows: ROIC 38.2%, sector median 5.7% (Top 5%). FCF margin 38.8%, sector median 4.2% (Top 5%). Gross margin 63.0%, 34.1pp above sector median. These rankings are based on MetricDuck's analysis of all Consumer Staples companies with available SEC filings.

Q: What warning signs should I watch for with ALTRIA GROUP, INC.?

Quantitative warning flags for ALTRIA GROUP, INC. (MO): 1) ROIC declining -5.1% over 8 quarters. Source: 10-Q filed 2025-10-30.

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Data Source: Data sourced from 10-Q filed 2025-10-30. TTM metrics as of Q2 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.