UPDATE: Stifel Nicolaus Upgrades Altria Group to Buy on Valuation, Yield
Stifel Nicolaus upgraded Altria Group (NYSE: MO) from Hold to Buy and announced a $36.00 price target.
Stifel Nicolaus commented, "We've been increasingly attracted to the stock as it pulled back from the mid-$30 range and believe this represents a good place for investors to begin building positions. The outlook for Altria's business remains solid, in our view, as we estimate a continuation of the 8% EPS growth trajectory for the business with upside potential throughout the year. … We believe the stock has solid downside support afforded by its current 5.5% dividend yield which remains at a significant premium in relation to the 10-year treasury for example."
Altria Group closed at $31.90 on Wednesday.
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