2 Reasons Altria Group Inc. Stock Could Rise

2 Reasons Altria Group Inc. Stock Could Rise

In a previous article, I laid out the bear case against Altria Group (NYSE: MO). Today, let's take a look at some ways the tobacco titan's stock could trend higher in the coming years.

As the number of people who smoke continues to decline, the tobacco industry has turned its focus toward new products that are believed to have fewer health risks. One such product that shows particular promise is Philip Morris International's (NYSE: PM) iQOS system.

The iQOS is an electric device that heats -- but does not burn -- a new type of cigarette called a Marlboro HeatStick. Instead of smoke, it produces a nicotine-containing vapor. Philip Morris says that this vapor is less dangerous than traditional cigarette smoke, and that the iQOS creates a more enjoyable experience for smokers than existing e-cigarettes.

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Source: Fool.com