Looking for Passive Income? This Dividend Stock Looks Like a Bargain.
The Federal Reserve has steadily increased interest rates over the last two years in an effort to curb inflation. One industry hit hard by this dynamic is consumer staples. According to November's report from the Bureau of Labor Statistics, food is one area where consumers are feeling the most pocket pain.
One sector adjacent to food that is feeling inflationary repercussions is tobacco. Tobacco products can often be found in grocery stores and gas stations. But as shoppers are forgoing certain purchases and only buying the necessities, companies like Altria Group (NYSE: MO) are feeling the heat.
Despite headwinds from a stormy macroeconomic picture, investor sentiment around Altria may be overblown. With the stock trading at a dividend yield of 9.5%, now might be a stealthy opportunity to scoop on some shares at a cheap valuation.
Source Fool.com
