Altria (MO - Free Report) closed at $55.12 in the latest trading session, marking a -0.29% move from the prior day. This change was narrower than the S&P 500's 0.61% loss on the day. At the same time, the Dow lost 0.72%, and the tech-heavy Nasdaq lost 0.56%.
Heading into today, shares of the owner of Philip Morris USA, the nation's largest cigarette maker had lost 1.3% over the past month, lagging the Consumer Staples sector's gain of 5.02% and the S&P 500's gain of 5.68% in that time.
Wall Street will be looking for positivity from MO as it approaches its next earnings report date. This is expected to be April 25, 2019. On that day, MO is projected to report earnings of $0.92 per share, which would represent a year-over-year decline of 3.16%. Our most recent consensus estimate is calling for quarterly revenue of $4.57 billion, down 2.18% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.20 per share and revenue of $19.75 billion. These totals would mark changes of +5.26% and +0.65%, respectively, from last year.
Any recent changes to analyst estimates for MO should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.19% lower. MO currently has a Zacks Rank of #4 (Sell).
Investors should also note MO's current valuation metrics, including its Forward P/E ratio of 13.15. This represents a premium compared to its industry's average Forward P/E of 12.93.
Also, we should mention that MO has a PEG ratio of 1.58. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Tobacco was holding an average PEG ratio of 1.72 at yesterday's closing price.
The Tobacco industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 100, which puts it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MO in the coming trading sessions, be sure to utilize Zacks.com.