MO US S&P 500Russell 1000 Earnings call
Altria (MO) · Q2 2026 results and valuation
Share price: $77.39 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · published 30 Jul 2026 and 30 Apr 2026
Net income up 5.3% on the previous quarter. Management sounded cautious, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
+5.3%
Net income vs Q1 2026
Outlook given
Net income 2.30B vs 2.18B
Revenue +12.6%
2 · How management spoke
Cautious
Among the least upbeat of all company calls
Answers to analysts: typical, in line with the script.
Similar to last call.
3 · What stood out
Key theme
Narrowing guidance will require additional investment in the second half.
Valuation
Is Altria undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At −2.5% growth a year (3-year revenue growth), the model's fair value is $38.72 a share — the stock trades 100% above it. Today's price assumes 5.2% growth a year.
Current price
$77.39
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+5.2% for 10 yrs
Fair value / share
$38.72
Buy below
$29.04
Price vs fair value
Overvalued 100%
Price vs buy-below price
Overvalued 166%
Management expects
EPS +4.5% · from the Q2 2026 report: “We now expect to deliver adjusted diluted EPS in a range of $5.61 to $5.72, representing a growth rate of 3.5% to 5.5% from a base of $5.42...”
A guidance figure for eps, usually one year ahead, not a 10-year free-cash-flow rate.
Read between the lines
-
New
For double duty drawback, you're absolutely right to point out export volumes increased Q1 to Q2.
Source quote
“For double duty drawback, you're absolutely right to point out export volumes increased Q1 to Q2. Bonnie, thanks for the question. Really, what you're seeing is a timing factor.”
-
Guidance
Earnings per share guidance is now $5.61 to $5.72, up 3.5% to 5.5% from $5.42.
Source quote
“We now expect to deliver adjusted diluted EPS in a range of $5.61 to $5.72, representing a growth rate of 3.5% to 5.5% from a base of $5.42...”
-
Figure
MO grew adjusted diluted EPS by 4.9% and returned nearly $3.9 billion to shareholders in the first half.
Source quote
“We delivered strong first half results, driving adjusted diluted EPS growth of 4.9% and returned nearly $3.9 billion to shareholders...”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“Our expanding smoke-free portfolio, the strength of our traditional businesses, a regulatory environment that is increasingly focused on addressing illicit products and the passion of our talented employees support our...”
“We also have opportunities to accelerate against our long-term adjacency vision as well as our smoke-free vision with any M&A opportunities.”
“We have a very strong balance sheet to do so with high cash generation businesses, and we remain focused on really delivering that strong shareholder value.”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-06-30)
| Metric | Q2 2026period end 2026-06-30 | Q1 2026period end 2026-03-31 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 6.11B | 5.43B | +12.6% | 6.10B | +0.1% |
| Gross profit | 3.82B | 3.51B | +9.0% | 3.85B | −0.8% |
| Operating income | 3.14B | 2.96B | +6.1% | 3.23B | −2.9% |
| Net income | 2.30B | 2.18B | +5.3% | 2.38B | −3.4% |
| EPS | 1.37 | 1.30 | +5.4% | 1.41 | −2.8% |
| P/E today 14.3 | 15.1 | 13.8 | +1.3 | 11.3 | +3.8 |
Topics
Most discussed now
- When adjusted for trade inventory movements, domestic cigarette volumes in the second quarter and the first half declined by an...
- Competitive nicotine pouch consumers, driving incremental volume and share contributions for the brand.
- While illicit-flavored disposable products remain prevalent, signs of moderating growth continued in the second quarter, and Altria is…
- Today's call will contain various operating results on both a reported and adjusted basis.
- Adjusted results exclude special items that affect comparisons with reported results.
Faded since Q1 2026
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Latest announcements
Official filings, newest first.
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Results of operations · SEC 8-K
- Director or officer change; Shareholder vote results · SEC 8-K
- Results of operations · SEC 8-K
- Other events · SEC 8-K
- Results of operations; Director or officer change · SEC 8-K
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Results of operations; Other events · SEC 8-K