Why Altria Should Sit on Its 10% Stake in Anheuser-Busch

Tobacco company Altria Group (NYSE: MO) holds a 10% stake in global beer giant Anheuser-Busch InBev. The company acquired the stake when SAB Miller and Anheuser-Busch merged in 2016.

Altria has quite a decision to make. AB-InBev as a company was worth as much as $250 billion at its peak in 2017, but it currently has a market value of just under $100 billion.

Should Altria sell its share to unlock almost $10 billion in cash that it can use elsewhere? Or does the company hold onto it, hoping for the stock's value to rise? Let's look at the case for each option, and see if we can determine what makes the most sense.

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Source Fool.com