Altria Group (NYSE:MO) will report its Q4 2022 earnings on February 1 before the market opens. The forecasted EPS for the quarter is $1.17, representing a year-over-year growth of 7.3%. The revenue is expected to fall to $5.15 billion, as compared to $5.41 billion in the previous quarter.
Analyzing the previous results, the company’s revenues fell by 3.5% to $6.6 billion in the third quarter of 2022. This was mainly due to declining sales in its traditional smoking segments. However, this was offset by increased revenues from oral tobacco products. The oral tobacco segment saw revenue growth of 7% during Q3.
The company is continuing to enhance its position in the oral tobacco category and is likely to benefit from the higher pricing, which will support the margins. This will support the company amid the slowdown in cigarette volumes and rising costs.
For the full year, the company expects diluted EPS between $4.81 and $4.89 per share, up from $4.61 in 2021.
Overall, analysts expect no material impact on the share price after the announcement of the results. The stock has been trading down by 6.13% in the last year.
Altria Group is the leading manufacturer of tobacco and cigarettes in the U.S. and is the owner of brands like Philip Morris and John Middleton.
Is Altria Stock a Good Buy?
Altria’s stock has a Hold rating on TipRanks, based on one Buy, two Hold, and two Sell recommendations.
The MO target price is $44.60, which is similar to the current trading level. The target price has a high forecast of $53.0 and a low forecast of $37.0.