On February 1, 2018, Altria Group (MO) traded at $69.93. On the same day, analysts expected the company’s stock price to reach $77.69, which represents a return potential of 11.1%.
The introduction of new Nu-Mark e-vapor products and expansion of the availability of Marlboro Black, Benson & Hedges menthol, and Marlboro Ice appears to have encouraged analysts to raise their target prices. On January 29, 2018, Morgan Stanley raised its target price from $65.00 to $74.00.
Of the 15 analysts that follow Altria, 66.7% favored “buy” recommendations and the remaining 33.3% recommended a “hold.” None of the analysts recommended “sell” options.
Currently, Altria is trading below analysts’ 12-month target price. However, this doesn’t mean an automatic “buy.” Investors should study the analysts’ estimates discussed in our earlier articles before making any investment decisions.
Of the 17 analysts that follow Philip Morris International (PM), 52.9% are recommending a “buy” option, and the remaining 47.1% are recommending a “hold.” In the next 12 months, analysts expect the company’s stock price to reach $122.73 in the next 12 months, which represents a return potential of 16.7%.
Of the two analysts that follow British American Tobacco (BTI), both favor a “buy” recommendation. In the next 12 months, analysts expect the company’s stock price to reach $80.00, which represents a return potential of 17.5%.