Altria Group, Inc. (NYSE: MO) Price Prediction and Forecast 2025-2030 (April 2025)

Shares of Altria Group Inc. (NYSE: MO) have outperformed the broad market over the past month by mustering a gain of 1.60% while the S&P 500 has lost -8.60% over the same period. That performance has helped the stock with a year-to-date gain of 11.54% while also paying a sizable dividend that currently yields 6.97%. So far in 2025, the Dividend King is not only outpacing its benchmark index but continuing to reward income investors as it has now increased its distribution 59 times over the past 55 years.

That sizable payout ratio hasn’t hindered share appreciation, though, as the stock has gained 17% over the past six months and is up 37.59% over the past year, outperforming the S&P 500 over the same period by an eye-catching 32.49%.

Among iconic American brands, Altria’s Marlboro cigarettes are as recognizable as iPhones, Levi Jeans and Coca-Cola. While the company’s origins can be traced back to George Weyman’s tobacco shop in 1822, Altria filed its first annual report as Philip Morris in 1920 and would come to dominate U.S. tobacco throughout the 20^th century and beyond. As Philip Morris branched out to acquire General Foods and Kraft, among others, it changed its name in 2003 to Altria Group while retaining the “MO” ticker. 

Altria has continued to grow at an albeit slower pace, due to health risks associated with tobacco use that has caused legislative restrictions. However, as a Dividend King and an institutional investment favorite, the company remains historically reliable and, as evidenced by its performance so far in 2025, more than capable of weathering severe market downturns. 

Key Points In This Article:

• Altria purchase of vape maker NJOY gives it access to a massive distribution network.
• Marlboro remains a giant in the U.S. cigarette industry with 42% of the market share.
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Altria’s Recent Stock Success

In 2016, Altria acquired 10% of Anheuser Busch InBev NV ADR (NYSE: BUD), the maker of Budweiser beer. The company has since reduced its stake to 8%, but the initial investment marked a run of M&A activity that increased CapEx but intrinsically increased the company’s valuation. Sherman Group Holdings, LLC was purchased in 2018, followed by Helix Innovations and Cronos Group — a medical and recreational cannabis company — being added to the Altria portfolio in 2019. In 2023, the company acquired NJOY. 

From FY 2020 to FY 2024, Altria returned more than $32 billion to shareholders in the form of dividends. Over the same period, it was able to repurchase $7.9 billion worth of stock. And from August 2023 to August 2024, the company increased its dividend by more than 4.1%.

Key Drivers for Altria’s Stock in the Future

1. Growing Demand for Smokeless Products: Globally, the smokeless product industry is valued at $16.81 billion and is projected to undergo a compound annual growth rate (CAGR) of 4.8% from 2024 to 2030. While 84.9% of distribution is offline, online distribution is forecast for a 6.2% CAGR through 2030, which is likely to help bolster sales as these products continue to expand their global reach. NJOY achieved the first-ever FDA marketing granted orders for menthol e-vapor products.

2. Continuous Dividend Growth: Last year, Altria notched its 55^th consecutive year of dividend growth. The stock continues to be a favorite among income investors, and it currently pays a dividend yielding 6.97%. For context, yield-investing fan favorite Schwab U.S. Dividend Equity ETF (NYSE: SCHD) currently only pays 4.18% and has seen a year-to-date loss of -6.97%. As such, Altria continues to provide investors with a safe haven, alluring (and sustainable) yield and impressive share performance. 

3. Emerging Markets: Cronos (cannabinoid) and Helix (oral nicotine pouches) were both acquired in 2019 and should help Altria expand into those respective markets. This is particularly relevant in light of the FDA announcing in January 2025 that it has authorized marketing of 20 ZYN Nicotine Pouch Products — a major competitor — following an extensive scientific review. 

Altria (MO) Price Prediction for 2025

According to Wall Street analysts, the current consensus one-year price target for Altria Group is $54.88, which represents -6.28% potential downside over the next 12 months based on the current share price. Of the nine analysts covering MO, the stock is given a consensus ‘Hold’ rating, with three assigning a ‘Buy’ rating, four assigning a ‘Hold’ rating and two assigning a ‘Sell’ rating.

However, 24/7 Wall Street’s forecast is less bearish, with a projected price target for Altria Group of $56.65, or -2.20% potential downside. We believe that Altria’s high dividend and relatively low P/E ratio will continue to attract investors, which will in turn support the stock price amid the ongoing downturn in the broad market.

Altria Stock Price Target 2025–2030

By the conclusion of 2030, 24/7 Wall Street estimates that Altria’s stock will be trading for $65.15, good for an 11.25% increase over today’s share price, based on an EPS of $6.05.

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