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Why Altria Is Poised to Outperform

Monday - 1/21/2013, 8:15pm  ET

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, tobacco giant Altria has earned a respected four-star ranking.

With that in mind, let's take a closer look at Altria and see what CAPS investors are saying about the stock right now.

Altria facts

Headquarters (Founded)

Richmond, Va. (1919)

Market Cap

$67.3 billion

Industry

Tobacco

Trailing-12-Month Revenue

$17.4 billion

Management

Chairman/CEO Martin Barrington
President/COO David Beran

Return on Capital (Average, Past 3 Years)

24.3%

Cash/Debt

$2.2 billion / $13.9 billion

Dividend Yield

5.3%

Competitors

Altadis
Lorillard

Reynolds American

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96% of the 8,964 members who have rated Altria believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, brenoboyle, succinctly summed up the Altria bull case for our community: "Excellent dividend yield, pricing power has led to consistent shareholder returns over time. Most attractively priced relative to peers and 27% voting interest in SABMiller that the market does not seem to be giving credit for."

Of course, this short article doesn't even come close to telling the entire story for Altria. You're in luck, though. The Fool's brand-new premium report on Altria tells all sides of the story for one of the most compelling dividend plays in the market. You can grab your copy now, which comes with free updates for 12 months, by just clicking here.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

This article was originally published as Why Altria Is Poised to Outperformon Fool.com

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