Altria Group: Buy, Sell, or Hold?
There are many reasons to love Altria Group (NYSE: MO) stock. The most obvious is its 8% dividend yield. That payout may seem too good to be true, but the company has maintained a lofty dividend for decades. The current rate was just raised last December.
But before you dive in, there are two valuable things to know about this income-generating investment.
As a nicotine producer, Altria benefits from a high level of customer loyalty that few companies can match. It owns many of the industry's most reputable brands, including Marlboro, John Middleton, JUUL, and Black & Mild. Research shows that tobacco use shifts very little during economic downturns, and Altria's stock performance during market crashes testifies to that reality. In 2008, for example, Altria shares outperformed the S&P 500 by more than 7%. In 2022, when the S&P 500 lost 18% of its value, Altria stock actually gained around 4% in value.
Source Fool.com
