3 Reasons to Buy Altria Stock, and 1 Reason to Sell
Consumer-based stocks often pay dividends, but one that may not get enough attention is Altria Group (NYSE: MO). Its dividend offers a cash return well above market averages even as it lacks the growth that consumer companies with ties to the tech industry often achieve.
Nonetheless, it deserves a closer look, and the decision to buy likely hinges on some compelling attributes amid one aspect of the company that will probably repel many investors.
Altria investors earn a yearly dividend of $3.76 per share. That yields 8.1% at current prices. That return is massive considering the 1.6% average cash return of the S&P 500, and such a disparity may leave investors wondering whether it is time to lock in the dividend yield or run away from a return that may be too good to be true.
Source Fool.com
