Market Overview

J.P. Morgan Overweight On Altria (MO)

Share:

J.P. Morgan Chase & Co. has an Overweight rating and a $23 price target on shares of Altria (NYSE: MO).

In a note to clients, J.P. Morgan writes, "The FDA-led investigation into menthol in US cigarettes continues, with the full report due by 23 March 2011. Two further draft chapters of the report were released last night. It remains our view that menthol will not be banned from US cigarettes (see Global Tobacco: The End is Nigh for more details) but we continue to believe that there remains headline risk around the (non-binding) report to the FDA to be published by TPSAC."

J.P. Morgan goes on to say, "While we do not expect menthol ultimately to be banned, there remains the risk that TPSAC recommends that it should be, whether this is necessarily supported by all the evidence it has reviewed or not. Because
of this share prices – in particular Lorillard as the most exposed company in the sector - could remain volatile over the shorter term. Our recommendations remain unchanged."

Shares of MO gained 43 cents yesterday to close at $25.37, a gain of 1.7%.

Posted-In: J.P. Morgan Chase & Co.Analyst Color Price Target Analyst Ratings

 

Related Articles (MO)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
GMLPReiterates10.0
JWNReiterates29.0
DSGXInitiates Coverage On43.0
ZMAssumes115.0
LOGMAssumes77.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

Piper Jaffray Maintains Neutral on Youku.com (YOKU)

Wunderlich Securities Reiterates Its Hold Rating On Rosetta Resources; Raises PT