Altria Group Sees Unusually High Options Volume (NYSE:MO)

Altria Group, Inc. (NYSE:MO) was the recipient of some unusual options trading activity on Tuesday. Stock investors purchased 37,493 call options on the company. This is an increase of 62% compared to the average daily volume of 23,181 call options.

Altria Group Trading Up 0.6%

Shares of MO traded up $0.40 during mid-day trading on Tuesday, hitting $64.79. The company’s stock had a trading volume of 4,135,490 shares, compared to its average volume of 10,358,969. The company’s 50-day moving average is $65.32 and its 200-day moving average is $62.53. Altria Group has a 52-week low of $52.82 and a 52-week high of $70.51. The firm has a market capitalization of $108.33 billion, a price-to-earnings ratio of 15.76, a PEG ratio of 2.75 and a beta of 0.45.

Altria Group (NYSE:MO) last issued its quarterly earnings data on Thursday, January 29th. The company reported $1.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.32 by ($0.02). Altria Group had a net margin of 29.84% and a negative return on equity of 287.61%. Altria Group’s revenue for the quarter was down .5% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.30 EPS. As a group, sell-side analysts predict that Altria Group will post 5.32 earnings per share for the current fiscal year.

Altria Group Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, April 30th. Stockholders of record on Wednesday, March 25th will be issued a $1.06 dividend. The ex-dividend date is Wednesday, March 25th. This represents a $4.24 dividend on an annualized basis and a dividend yield of 6.5%. Altria Group’s dividend payout ratio (DPR) is currently 103.16%.

Analysts Set New Price Targets

Several equities research analysts have issued reports on MO shares. Barclays boosted their price objective on shares of Altria Group from $57.00 to $63.00 and gave the company an “underweight” rating in a research report on Monday, February 23rd. Citigroup lifted their price target on shares of Altria Group from $57.00 to $65.00 and gave the company a “neutral” rating in a research note on Monday, February 9th. Argus upgraded Altria Group to a “hold” rating in a report on Tuesday, January 13th. UBS Group increased their price objective on Altria Group from $67.00 to $74.00 and gave the stock a “buy” rating in a research note on Monday, March 9th. Finally, Jefferies Financial Group raised their price objective on Altria Group from $47.00 to $50.00 and gave the stock an “underperform” rating in a report on Wednesday, March 4th. Five research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Altria Group currently has a consensus rating of “Hold” and an average price target of $65.11.

Insider Activity at Altria Group

In related news, SVP Charles N. Whitaker sold 27,908 shares of the firm’s stock in a transaction dated Thursday, March 5th. The shares were sold at an average price of $67.57, for a total value of $1,885,743.56. Following the transaction, the senior vice president owned 180,869 shares of the company’s stock, valued at $12,221,318.33. This trade represents a 13.37% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 0.08% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in MO. Darwin Wealth Management LLC bought a new stake in Altria Group during the second quarter valued at about $27,000. Navalign LLC acquired a new position in shares of Altria Group in the fourth quarter valued at about $28,000. Country Trust Bank raised its stake in shares of Altria Group by 400.0% in the second quarter. Country Trust Bank now owns 500 shares of the company’s stock worth $29,000 after purchasing an additional 400 shares during the last quarter. Creative Capital Management Investments LLC purchased a new position in shares of Altria Group in the fourth quarter worth about $29,000. Finally, Hughes Financial Services LLC lifted its holdings in shares of Altria Group by 62.9% during the fourth quarter. Hughes Financial Services LLC now owns 510 shares of the company’s stock worth $29,000 after purchasing an additional 197 shares during the period. 57.41% of the stock is owned by institutional investors.

About Altria Group

Altria Group, Inc (NYSE: MO) is a U.S.-based consumer goods company whose principal business is the manufacture and sale of tobacco products. Headquartered in Richmond, Virginia, the company’s operations are focused primarily on the U.S. market and include the production, marketing and distribution of cigarettes, smokeless tobacco and cigars. Its flagship cigarette franchise in the United States is sold through its operating subsidiaries and is among the most recognizable cigarette brands in the country.

Altria’s principal operating businesses include Philip Morris USA (cigarettes), U.S.