This Is The Safest Stock In A Market Collapse, Also 7% Dividend

Altria Group Inc. (NYSE: MO) has a forward yield of 7.1%. It is likely to keep its current dividend or raise it. Altria has a strong cash flow and an ironclad balance sheet. It also has one of the world’s most famous brands: Marlboro. Altria is not a trader’s stock. It is up 7% this […] The post This Is The Safest Stock In A Market Collapse, Also 7% Dividend appeared first on 24/7 Wall St..

Apr 6, 2025 - 15:51
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This Is The Safest Stock In A Market Collapse, Also 7% Dividend

Altria Group Inc. (NYSE: MO) has a forward yield of 7.1%. It is likely to keep its current dividend or raise it. Altria has a strong cash flow and an ironclad balance sheet. It also has one of the world’s most famous brands: Marlboro.

Altria is not a trader’s stock. It is up 7% this year, compared to a 14% drop in the S&P 500. Its trading range is narrow. The stock has changed hands over the past 52 weeks between $60.18 and $40.65 a share. It trades near $56 today.

Altria has solid earnings and an almost unprecedented run of dividend payments. In 2024, Altria’s revenue fell 2% to $24 billion. However, earnings rose 42.% to $6.54 a share. At the end of 2024, Altria had $11.3 billion of cash, cash equivalents, and long-term investments. It also raised its 2025 guidance. And it has raised its dividend every year for the last 20 years.

Almost all of Altria’s revenue comes from cigarettes. There is a theory that many investors shy away from buying Altria stock for that reason and that the dividend is an incentive.

Almost all of Altria’s cigarette sales are from the Marlboro brand. The brand was first marketed in 1924 and targeted toward women. In the 1950s, the target changed to men. The brand is almost 10% of global cigarette sales.

The stock market has become dangerous. President Trump imposed 10% tariffs on imports from all countries. The figure is higher for several large trading partners: 34% for China and 25% for South Korea and the European Union.

Tariffs are expected to raise the prices of many imported goods sold in America. This robs people of their purchasing power and, in turn, could trigger a recession. Investors need to find safe havens. Altria should be at the top of the list.

The post This Is The Safest Stock In A Market Collapse, Also 7% Dividend appeared first on 24/7 Wall St..