Intrinsic value of Altria Group - MO

Previous Close

$59.21

  Intrinsic Value

$40.89

stock screener

  Rating & Target

sell

-31%

Previous close

$59.21

 
Intrinsic value

$40.89

 
Up/down potential

-31%

 
Rating

sell

We calculate the intrinsic value of MO stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 2017), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 113.0

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046
   2047

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  2.00
  2.30
  2.57
  2.81
  3.03
  3.23
  3.41
  3.57
  3.71
  3.84
  3.95
  4.06
  4.15
  4.24
  4.31
  4.38
  4.44
  4.50
  4.55
  4.59
  4.64
  4.67
  4.70
  4.73
  4.76
  4.78
  4.81
  4.83
  4.84
  4.86
Revenue, $m
  26,088
  26,688
  27,373
  28,143
  28,997
  29,933
  30,952
  32,056
  33,245
  34,520
  35,885
  37,342
  38,892
  40,540
  42,289
  44,142
  46,104
  48,179
  50,371
  52,685
  55,127
  57,703
  60,417
  63,278
  66,290
  69,462
  72,800
  76,313
  80,009
  83,896
Variable operating expenses, $m
  17,182
  17,537
  17,942
  18,397
  18,901
  19,454
  20,056
  20,708
  21,410
  22,164
  21,200
  22,060
  22,976
  23,950
  24,983
  26,078
  27,237
  28,462
  29,757
  31,125
  32,567
  34,089
  35,693
  37,382
  39,162
  41,036
  43,008
  45,083
  47,267
  49,563
Fixed operating expenses, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  17,182
  17,537
  17,942
  18,397
  18,901
  19,454
  20,056
  20,708
  21,410
  22,164
  21,200
  22,060
  22,976
  23,950
  24,983
  26,078
  27,237
  28,462
  29,757
  31,125
  32,567
  34,089
  35,693
  37,382
  39,162
  41,036
  43,008
  45,083
  47,267
  49,563
Operating income, $m
  8,905
  9,151
  9,431
  9,747
  10,096
  10,479
  10,896
  11,348
  11,834
  12,356
  14,685
  15,281
  15,916
  16,590
  17,306
  18,065
  18,867
  19,716
  20,613
  21,561
  22,560
  23,614
  24,725
  25,895
  27,128
  28,426
  29,792
  31,230
  32,742
  34,333
EBITDA, $m
  12,659
  12,950
  13,282
  13,656
  14,070
  14,524
  15,019
  15,554
  16,131
  16,750
  17,413
  18,119
  18,872
  19,672
  20,520
  21,419
  22,371
  23,378
  24,442
  25,565
  26,750
  27,999
  29,316
  30,704
  32,166
  33,705
  35,325
  37,030
  38,823
  40,709
Interest expense (income), $m
  775
  750
  780
  815
  856
  901
  951
  1,006
  1,066
  1,131
  1,201
  1,276
  1,356
  1,441
  1,532
  1,629
  1,732
  1,841
  1,956
  2,078
  2,207
  2,343
  2,486
  2,637
  2,797
  2,965
  3,142
  3,328
  3,524
  3,731
  3,948
Earnings before tax, $m
  8,155
  8,371
  8,616
  8,891
  9,195
  9,528
  9,890
  10,282
  10,703
  11,156
  13,410
  13,926
  14,475
  15,058
  15,677
  16,333
  17,027
  17,760
  18,535
  19,354
  20,217
  21,128
  22,087
  23,098
  24,163
  25,284
  26,464
  27,706
  29,012
  30,385
Tax expense, $m
  2,202
  2,260
  2,326
  2,401
  2,483
  2,572
  2,670
  2,776
  2,890
  3,012
  3,621
  3,760
  3,908
  4,066
  4,233
  4,410
  4,597
  4,795
  5,005
  5,226
  5,459
  5,704
  5,964
  6,237
  6,524
  6,827
  7,145
  7,481
  7,833
  8,204
Net income, $m
  5,953
  6,110
  6,290
  6,490
  6,712
  6,955
  7,220
  7,506
  7,813
  8,144
  9,789
  10,166
  10,567
  10,992
  11,444
  11,923
  12,429
  12,965
  13,531
  14,128
  14,759
  15,423
  16,124
  16,862
  17,639
  18,457
  19,319
  20,225
  21,179
  22,181

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  44,067
  45,080
  46,239
  47,540
  48,981
  50,562
  52,284
  54,148
  56,156
  58,311
  60,617
  63,077
  65,697
  68,480
  71,435
  74,565
  77,879
  81,383
  85,086
  88,995
  93,120
  97,471
  102,056
  106,888
  111,976
  117,334
  122,973
  128,907
  135,150
  141,717
Adjusted assets (=assets-cash), $m
  44,067
  45,080
  46,239
  47,540
  48,981
  50,562
  52,284
  54,148
  56,156
  58,311
  60,617
  63,077
  65,697
  68,480
  71,435
  74,565
  77,879
  81,383
  85,086
  88,995
  93,120
  97,471
  102,056
  106,888
  111,976
  117,334
  122,973
  128,907
  135,150
  141,717
Revenue / Adjusted assets
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
  0.592
Average production assets, $m
  19,827
  20,283
  20,804
  21,389
  22,037
  22,749
  23,524
  24,362
  25,266
  26,235
  27,273
  28,380
  29,558
  30,811
  32,140
  33,548
  35,039
  36,616
  38,282
  40,041
  41,897
  43,854
  45,917
  48,091
  50,380
  52,791
  55,328
  57,998
  60,807
  63,761
Working capital, $m
  1,878
  1,922
  1,971
  2,026
  2,088
  2,155
  2,229
  2,308
  2,394
  2,485
  2,584
  2,689
  2,800
  2,919
  3,045
  3,178
  3,320
  3,469
  3,627
  3,793
  3,969
  4,155
  4,350
  4,556
  4,773
  5,001
  5,242
  5,495
  5,761
  6,041
Total debt, $m
  14,448
  15,101
  15,847
  16,684
  17,613
  18,631
  19,740
  20,940
  22,234
  23,622
  25,106
  26,691
  28,378
  30,170
  32,073
  34,089
  36,223
  38,480
  40,864
  43,382
  46,039
  48,840
  51,793
  54,905
  58,182
  61,632
  65,264
  69,085
  73,106
  77,335
Total liabilities, $m
  28,379
  29,032
  29,778
  30,615
  31,544
  32,562
  33,671
  34,871
  36,165
  37,553
  39,037
  40,622
  42,309
  44,101
  46,004
  48,020
  50,154
  52,411
  54,795
  57,313
  59,970
  62,771
  65,724
  68,836
  72,113
  75,563
  79,195
  83,016
  87,037
  91,266
Total equity, $m
  15,688
  16,049
  16,461
  16,924
  17,437
  18,000
  18,613
  19,277
  19,992
  20,759
  21,580
  22,455
  23,388
  24,379
  25,431
  26,545
  27,725
  28,972
  30,291
  31,682
  33,151
  34,700
  36,332
  38,052
  39,864
  41,771
  43,778
  45,891
  48,114
  50,451
Total liabilities and equity, $m
  44,067
  45,081
  46,239
  47,539
  48,981
  50,562
  52,284
  54,148
  56,157
  58,312
  60,617
  63,077
  65,697
  68,480
  71,435
  74,565
  77,879
  81,383
  85,086
  88,995
  93,121
  97,471
  102,056
  106,888
  111,977
  117,334
  122,973
  128,907
  135,151
  141,717
Debt-to-equity ratio
  0.920
  0.940
  0.960
  0.990
  1.010
  1.040
  1.060
  1.090
  1.110
  1.140
  1.160
  1.190
  1.210
  1.240
  1.260
  1.280
  1.310
  1.330
  1.350
  1.370
  1.390
  1.410
  1.430
  1.440
  1.460
  1.480
  1.490
  1.510
  1.520
  1.530
Adjusted equity ratio
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356
  0.356

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  5,953
  6,110
  6,290
  6,490
  6,712
  6,955
  7,220
  7,506
  7,813
  8,144
  9,789
  10,166
  10,567
  10,992
  11,444
  11,923
  12,429
  12,965
  13,531
  14,128
  14,759
  15,423
  16,124
  16,862
  17,639
  18,457
  19,319
  20,225
  21,179
  22,181
Depreciation, amort., depletion, $m
  3,753
  3,799
  3,851
  3,910
  3,974
  4,046
  4,123
  4,207
  4,297
  4,394
  2,727
  2,838
  2,956
  3,081
  3,214
  3,355
  3,504
  3,662
  3,828
  4,004
  4,190
  4,385
  4,592
  4,809
  5,038
  5,279
  5,533
  5,800
  6,081
  6,376
Funds from operations, $m
  9,706
  9,909
  10,141
  10,400
  10,687
  11,001
  11,343
  11,712
  12,111
  12,538
  12,516
  13,004
  13,522
  14,073
  14,658
  15,278
  15,933
  16,627
  17,359
  18,132
  18,948
  19,809
  20,716
  21,671
  22,677
  23,737
  24,852
  26,025
  27,259
  28,558
Change in working capital, $m
  37
  43
  49
  55
  61
  67
  73
  79
  86
  92
  98
  105
  112
  119
  126
  133
  141
  149
  158
  167
  176
  185
  195
  206
  217
  228
  240
  253
  266
  280
Cash from operations, $m
  9,670
  9,866
  10,091
  10,344
  10,625
  10,933
  11,269
  11,633
  12,025
  12,446
  12,418
  12,899
  13,411
  13,955
  14,532
  15,144
  15,792
  16,477
  17,201
  17,966
  18,772
  19,623
  20,520
  21,465
  22,460
  23,508
  24,611
  25,772
  26,993
  28,278
Maintenance CAPEX, $m
  -1,945
  -1,983
  -2,028
  -2,080
  -2,139
  -2,204
  -2,275
  -2,352
  -2,436
  -2,527
  -2,624
  -2,727
  -2,838
  -2,956
  -3,081
  -3,214
  -3,355
  -3,504
  -3,662
  -3,828
  -4,004
  -4,190
  -4,385
  -4,592
  -4,809
  -5,038
  -5,279
  -5,533
  -5,800
  -6,081
New CAPEX, $m
  -377
  -456
  -521
  -585
  -648
  -711
  -775
  -839
  -904
  -970
  -1,037
  -1,107
  -1,179
  -1,253
  -1,329
  -1,408
  -1,491
  -1,577
  -1,666
  -1,759
  -1,856
  -1,957
  -2,063
  -2,174
  -2,289
  -2,411
  -2,537
  -2,670
  -2,809
  -2,954
Cash from investing activities, $m
  -2,322
  -2,439
  -2,549
  -2,665
  -2,787
  -2,915
  -3,050
  -3,191
  -3,340
  -3,497
  -3,661
  -3,834
  -4,017
  -4,209
  -4,410
  -4,622
  -4,846
  -5,081
  -5,328
  -5,587
  -5,860
  -6,147
  -6,448
  -6,766
  -7,098
  -7,449
  -7,816
  -8,203
  -8,609
  -9,035
Free cash flow, $m
  7,348
  7,428
  7,542
  7,679
  7,838
  8,018
  8,220
  8,442
  8,685
  8,950
  8,757
  9,065
  9,394
  9,746
  10,122
  10,522
  10,946
  11,397
  11,874
  12,379
  12,912
  13,476
  14,072
  14,700
  15,362
  16,060
  16,795
  17,569
  18,384
  19,243
Issuance/(repayment) of debt, $m
  554
  653
  746
  838
  928
  1,018
  1,109
  1,200
  1,293
  1,388
  1,485
  1,584
  1,687
  1,793
  1,902
  2,016
  2,134
  2,257
  2,385
  2,518
  2,657
  2,802
  2,953
  3,111
  3,277
  3,450
  3,632
  3,822
  4,020
  4,229
Issuance/(repurchase) of shares, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash from financing (excl. dividends), $m  
  554
  653
  746
  838
  928
  1,018
  1,109
  1,200
  1,293
  1,388
  1,485
  1,584
  1,687
  1,793
  1,902
  2,016
  2,134
  2,257
  2,385
  2,518
  2,657
  2,802
  2,953
  3,111
  3,277
  3,450
  3,632
  3,822
  4,020
  4,229
Total cash flow (excl. dividends), $m
  7,902
  8,080
  8,288
  8,516
  8,766
  9,037
  9,329
  9,642
  9,979
  10,338
  10,242
  10,649
  11,081
  11,539
  12,024
  12,538
  13,080
  13,653
  14,258
  14,896
  15,569
  16,278
  17,025
  17,811
  18,639
  19,510
  20,427
  21,391
  22,405
  23,471
Retained Cash Flow (-), $m
  -311
  -361
  -412
  -463
  -513
  -563
  -613
  -664
  -715
  -767
  -821
  -876
  -933
  -991
  -1,052
  -1,114
  -1,180
  -1,248
  -1,318
  -1,392
  -1,469
  -1,549
  -1,632
  -1,720
  -1,812
  -1,907
  -2,008
  -2,113
  -2,223
  -2,338
Prev. year cash balance distribution, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
  7,591
  7,719
  7,875
  8,053
  8,253
  8,474
  8,716
  8,979
  9,264
  9,570
  9,421
  9,773
  10,149
  10,548
  10,973
  11,423
  11,901
  12,406
  12,940
  13,505
  14,100
  14,729
  15,392
  16,091
  16,827
  17,603
  18,419
  19,278
  20,182
  21,134
Discount rate, %
  6.00
  6.30
  6.62
  6.95
  7.29
  7.66
  8.04
  8.44
  8.86
  9.31
  9.77
  10.26
  10.78
  11.31
  11.88
  12.47
  13.10
  13.75
  14.44
  15.16
  15.92
  16.72
  17.55
  18.43
  19.35
  20.32
  21.33
  22.40
  23.52
  24.70
PV of cash for distribution, $m
  7,162
  6,832
  6,499
  6,156
  5,804
  5,443
  5,072
  4,695
  4,313
  3,930
  3,378
  3,026
  2,683
  2,352
  2,037
  1,742
  1,469
  1,220
  998
  802
  634
  491
  373
  278
  202
  144
  99
  67
  44
  28
Current shareholders' claim on cash, %
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0
  100.0

Altria Group, Inc. is a holding company. The Company's segments include smokeable products, smokeless products and wine. The Company's subsidiaries include Philip Morris USA Inc. (PM USA), which is engaged in the manufacture and sale of cigarettes in the United States; John Middleton Co. (Middleton), which is engaged in the manufacture and sale of machine-made cigars and pipe tobacco, and UST LLC (UST), which, through its subsidiaries, including U.S. Smokeless Tobacco Company LLC (USSTC) and Ste. Michelle Wine Estates Ltd. (Ste. Michelle), is engaged in the manufacture and sale of smokeless tobacco products and wine. Its other operating companies include Nu Mark LLC (Nu Mark), a subsidiary that is engaged in the manufacture and sale of tobacco products, and Philip Morris Capital Corporation (PMCC), a subsidiary that maintains a portfolio of finance assets. Other subsidiaries include Altria Group Distribution Company and Altria Client Services LLC.

FINANCIAL RATIOS  of  Altria Group (MO)

Valuation Ratios
P/E Ratio 8.1
Price to Sales 4.5
Price to Book 9
Price to Tangible Book
Price to Cash Flow 30.4
Price to Free Cash Flow 31.9
Growth Rates
Sales Growth Rate 1.2%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate -17.5%
Cap. Spend. - 3 Yr. Gr. Rate 7.6%
Financial Strength
Quick Ratio NaN
Current Ratio 0.1
LT Debt to Equity 108.7%
Total Debt to Equity 108.7%
Interest Coverage 29
Management Effectiveness
Return On Assets 38.1%
Ret/ On Assets - 3 Yr. Avg. 23.9%
Return On Total Capital 67.2%
Ret/ On T. Cap. - 3 Yr. Avg. 42.2%
Return On Equity 182%
Return On Equity - 3 Yr. Avg. 167.3%
Asset Turnover 0.7
Profitability Ratios
Gross Margin 45%
Gross Margin - 3 Yr. Avg. 43.4%
EBITDA Margin 88.7%
EBITDA Margin - 3 Yr. Avg. 53.4%
Operating Margin 84.7%
Oper. Margin - 3 Yr. Avg. 49.2%
Pre-Tax Margin 84.9%
Pre-Tax Margin - 3 Yr. Avg. 49.4%
Net Profit Margin 55.3%
Net Profit Margin - 3 Yr. Avg. 32.2%
Effective Tax Rate 34.8%
Eff/ Tax Rate - 3 Yr. Avg. 34.9%
Payout Ratio 31.7%

MO stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the MO stock intrinsic value calculation we used $25576 million for the last fiscal year's total revenue generated by Altria Group. The default revenue input number comes from 2017 income statement of Altria Group. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our MO stock valuation model: a) initial revenue growth rate of 2% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 6%, whose default value for MO is calculated based on our internal credit rating of Altria Group, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of Altria Group.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of MO stock the variable cost ratio is equal to 66%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for MO stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 5.4% for Altria Group.

Corporate tax rate of 27% is the nominal tax rate for Altria Group. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the MO stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for MO are equal to 76%.

Life of production assets of 10 years is the average useful life of capital assets used in Altria Group operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for MO is equal to 7.2%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $15377 million for Altria Group - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 1908 million for Altria Group is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of Altria Group at the current share price and the inputted number of shares is $113.0 billion.

RELATED COMPANIES Price Int.Val. Rating
PM Philip Morris 82.31 15.60  str.sell
VGR Vector Group 16.60 2.48  str.sell
XXII 22nd Century G 2.53 0.17  str.sell
TPB Turning Point 33.19 63.19  str.buy

COMPANY NEWS

▶ How Long Can Altria Grow Profits With Falling Sales?   [Aug-12-18 09:30AM  Motley Fool]
▶ Altria Group Inc (NYSE:MO): Did It Outperform The Industry?   [Aug-09-18 11:47AM  Simply Wall St.]
▶ Why You Should Buy the Most Hated Company on the Planet   [Aug-08-18 01:11PM  InvestorPlace]
▶ 3 Dividend Stocks That Pay You More Than Verizon Does   [Aug-01-18 03:20PM  Motley Fool]
▶ 3 Top Dividend Stocks to Buy Right Now   [Jul-31-18 11:49AM  Motley Fool]
▶ [$$] Marlboro Sales Drop Sharply in a Shrinking Market   [11:17AM  The Wall Street Journal]
▶ Altria: 2Q Earnings Snapshot   [07:17AM  Associated Press]
▶ Better Buy: Verizon Communications Inc. vs. Altria Group   [Jul-20-18 01:33PM  Motley Fool]
▶ Better Buy: Philip Morris International vs. Coca-Cola   [Jul-18-18 09:05PM  Motley Fool]
▶ Tobacco Stocks Could Pack Some Upside   [10:39AM  Barrons.com]
▶ Why Tobacco Stocks Have Lost Around 20% This Year   [Jul-15-18 09:32AM  Motley Fool]
▶ Altria to Host Webcast of 2018 Second-Quarter Results   [Jul-12-18 10:30AM  Business Wire]
▶ 4 Rock-Solid Cheap Dividend Stocks with P/Es Under 15   [Jul-07-18 04:48PM  Motley Fool]
▶ RBC's top consumer staples picks   [Jun-26-18 02:17PM  CNBC Videos]
▶ Are These 4 Fears About Altria Group Overblown?   [Jun-24-18 02:00PM  Motley Fool]
▶ Altria's Best Hope for a Bounce   [Jun-23-18 11:48AM  Motley Fool]
▶ Is It The Right Time To Buy Altria Group Inc (NYSE:MO)?   [Jun-22-18 12:07PM  Simply Wall St.]
▶ 5 Blue Chip Dividends In Serious Danger   [Jun-18-18 08:36AM  Forbes]
▶ Better Buy: Altria Group vs. Verizon   [Jun-17-18 08:17AM  Motley Fool]
▶ Better Buy: Philip Morris International vs. Altria   [Jun-05-18 03:29PM  Motley Fool]
▶ How Altria's Transforming Itself to Keep Its Lead   [Jun-03-18 08:02AM  Motley Fool]
▶ Top Stock Reports for 3M, Altria & Stryker   [May-31-18 10:20AM  Zacks]
▶ Could Altria Be a Millionaire-Maker Stock?   [May-27-18 06:31PM  Motley Fool]
▶ 9 Key Principles of Value Investing   [May-26-18 04:31PM  Motley Fool]
▶ These Companies Gave Bonuses or Raises After Tax Reform   [May-24-18 06:41AM  Motley Fool]
▶ Better Buy: Altria Group vs. Philip Morris   [May-21-18 11:33AM  Motley Fool]
▶ 5 Marijuana Stocks To Watch In 2018   [May-20-18 07:30PM  Oilprice.com]
▶ Altria Holds 2018 Annual Meeting of Shareholders   [May-17-18 01:45PM  Business Wire]
▶ Is Altria Group Inc (NYSE:MO) A Buy At Its Current PE Ratio?   [May-14-18 06:43PM  Simply Wall St.]
▶ 3 Weak Stocks Begging for Bear Trades   [10:47AM  InvestorPlace]
▶ Better Buy: Altria Group vs. Coca-Cola   [May-12-18 11:30AM  Motley Fool]
▶ 10 Dividend Stocks to Buy in May   [May-03-18 01:26PM  InvestorPlace]
▶ Is the Bell Tolling on Tobacco Stocks?   [Apr-27-18 07:52PM  Motley Fool]
▶ Altria: 1Q Earnings Snapshot   [07:38AM  Associated Press]
▶ Vaping decimating cigarette industry and could get worse   [Apr-23-18 07:10PM  CNBC Videos]
▶ 3 Marijuana ETFs With Potential to Harvest   [11:24AM  InvestorPlace]
Follow us on:   twitter   twitter   twitter   twitter

ASSET ALLOCATION

About X-FIN       Site news       Privacy policy       Terms of use       FAQ

Copyright © X-FIN.com 2005-2018. All rigths reserved.