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RICHMOND - Altria Group, Inc. (NYSE:MO) announced Wednesday that its Board of Directors approved a 3.9% increase to its regular quarterly dividend, raising it to $1.06 per share from the previous $1.02 per share. The company maintains a "GREAT" financial health score according to InvestingPro analysis, supporting its ability to maintain dividend payments.
The dividend will be payable on October 10, 2025, to shareholders of record as of September 15, 2025, which is also the ex-dividend date.
This marks Altria’s 60th dividend increase in the past 56 years, according to the company’s press release statement. The new annualized dividend rate is $4.24 per share, representing a dividend yield of 6.3% based on Altria’s closing stock price of $67.58 on August 20.
Altria stated that the dividend increase aligns with its progressive dividend goal that targets mid-single digits dividend per share growth annually through 2028.
The tobacco company has maintained a consistent dividend policy despite challenges facing the traditional cigarette market in recent years.
In other recent news, Altria Group reported its second-quarter 2025 earnings, surpassing analysts’ expectations with an adjusted diluted earnings per share (EPS) of $1.44, compared to a forecast of $1.38. The company’s revenue also exceeded projections, reaching $6.1 billion, significantly higher than the anticipated $5.2 billion. These strong financial results highlight Altria’s ability to perform well despite ongoing challenges in the market. Furthermore, BofA Securities raised its price target for Altria’s stock to $64.00 from $63.00 while maintaining a Buy rating. This adjustment follows the company’s second-quarter results, which showed net sales were essentially flat, increasing just 0.2% to $5.3 billion. The firm noted Altria’s operational resilience amid high levels of illicit trade and economic challenges. These developments reflect continued confidence in Altria’s financial stability and market position.
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