Core Insights - The article emphasizes the importance of dividend-focused investing, highlighting that dividends have historically contributed significantly to total returns in the stock market [4]. Company Analysis Altria - Altria Group Inc. is a major player in the tobacco industry, offering a 6.12% dividend yield and primarily selling cigarettes under the Marlboro brand [5]. - The company sold 35 million shares of Anheuser-Busch InBev, representing 18% of its holdings, and announced a $2.4 billion stock repurchase plan [6]. - Goldman Sachs has rated Altria as a Buy with a target price of $72 [6]. Clorox - Clorox Co. provides a reliable 4.04% dividend yield and is known for its consumer and professional cleaning products [7]. - The company operates through four segments, including Health and Wellness and Household products [8]. - Jefferies has rated Clorox as a Buy with a target price of $151 [9]. Kimberly-Clark - Kimberly-Clark Corp. has a 4.66% dividend yield and has raised its dividend for 53 consecutive years [10]. - The company announced an acquisition of Kenvue Inc. for $48.7 billion, expected to close in the second half of 2026 [14]. - Argus has rated Kimberly-Clark as a Buy with a target price of $120 [14]. PepsiCo - PepsiCo, Inc. reported solid third-quarter earnings with a 3.36% dividend yield and is trading at 18 times forward earnings [15]. - Activist investor Elliott Investment Management has taken a $4 billion stake in PepsiCo, aiming to unlock value through strategic changes [16]. - UBS has rated PepsiCo as a Buy with a target price of $190 [17]. Verizon - Verizon Communications Inc. offers a 5.62% dividend yield and trades at 9.13 times its estimated 2026 earnings [18]. - The company operates in two segments, providing a range of communication services to consumers and businesses [19][20]. - TD Cowen has rated Verizon as a Buy with a target price of $51 [20].

Key Takeaways Altria's Marlboro held a 40.5% retail share in 2025 despite ongoing U.S. cigarette volume declines.MO offset lower shipment volumes with higher pricing, supporting Smokeable Products' profitability.Increased promotional spending and trade-down trends weighed on margins amid evolving competitive dynamics.Altria Group, Inc. (MO) is facing an important challenge for its flagship Marlboro brand as the U.S. cigarette market continues to shrink. In the fourth quarter of 2025, the company’s results u ...

Group 1 - The primary goal of the "High Income DIY Portfolios" service is to provide high income with low risk and capital preservation for DIY investors [1] - The service offers seven portfolios designed for income investors, including retirees, featuring three buy-and-hold portfolios, three rotational portfolios, and a conservative NPP strategy portfolio [1] - The portfolios include two high-income portfolios, two dividend growth investing (DGI) portfolios, and a conservative NPP strategy portfolio aimed at low drawdowns and high growth [1] Group 2 - The "High Income DIY Portfolios" service includes a total of 10 model portfolios with varying income targets and risk levels, along with buy and sell alerts and live chat support [2] - The investment approach focuses on dividend-growing stocks with a long-term horizon, aiming for 30% lower drawdowns and 6% current income [2] - The service is managed by a financial writer with 25 years of investment experience, emphasizing strategies for stable, long-term passive income [2]

Core Viewpoint - Altria offers a high yield of 6.3%, but the business faces significant challenges, making it a riskier investment compared to Hormel Foods, which has a lower yield of approximately 5% but a more stable business model [1][4][11]. Altria Overview - Altria's primary business revolves around cigarette sales, which are declining; for instance, cigarette volumes fell by 10% in 2025 [4]. - The company has managed to support revenue and earnings through price increases and stock buybacks, allowing for ongoing dividend increases, but it remains fundamentally challenged [5]. Hormel Foods Overview - Hormel Foods is a large food manufacturer focused on protein products, aligning well with current consumer trends [6]. - The company is currently facing challenges, particularly in passing rising costs onto consumers, and is refocusing on cost control and portfolio overhaul, including plans to sell its whole turkey business [7][9]. - Hormel's interim CEO, Jeff Ettinger, has implemented strategies leading to five consecutive quarters of organic sales growth, indicating positive momentum [10]. - Hormel has a 5% yield and has increased its dividend annually for over 50 years, earning the title of Dividend King, which reflects a strong commitment to returning value to investors [11].

Group 1 - The current durable income opportunity set for investors seeking high yields combined with safety is limited [1] - Roberts Berzins has over a decade of experience in financial management, focusing on shaping financial strategies for top-tier corporates and executing large-scale financings [2] - Berzins has contributed to institutionalizing the REIT framework in Latvia to enhance liquidity in pan-Baltic capital markets [2] Group 2 - Berzins has been involved in developing national SOE financing guidelines and frameworks to channel private capital into affordable housing [2] - He holds a CFA Charter and an ESG investing certificate, and has experience with the Chicago Board of Trade [2] - Berzins actively participates in thought-leadership activities to support the development of pan-Baltic capital markets [2]

PresentationWell, we're excited to welcome back the management team of Altria, long-time supporters of CAGNY. For decades, they've been leaders in the tobacco industry with iconic brands led by Marlboro. Today, they're leaders in moving beyond smoking. This includes exciting new products like on! PLUS and advocating for improved enforcement against illicit markets in the U.S., all while supporting strong cash returns to shareholders through the traditional businesses. We also note this is CEO, Billy Gifford ...

Altria Conference Call Summary Company Overview - **Company**: Altria Group, Inc. - **Industry**: Tobacco and Nicotine Products Key Points Transition to Smoke-Free Products - Altria is transitioning smokers to a smoke-free future while competing for existing smoke-free nicotine consumers and exploring growth opportunities beyond the U.S. and nicotine [3][4] - The U.S. nicotine space is evolving with innovative smoke-free products driving change, creating unprecedented opportunities for Altria's businesses [4] Market Dynamics - In 2025, growth in e-vapor and oral tobacco offset cigarette industry volume declines, leading to a total equivalized nicotine volume growth of approximately 2.5% last year [5] - Over half of the 55 million U.S. nicotine consumers now use smoke-free products, with more than one-third using them exclusively [5] Consumer Segmentation - Altria identifies three consumer groups: 1. **Traditionalists**: Loyal to established brands like Marlboro and Copenhagen [6][7] 2. **Transitioners**: Open to switching to smoke-free alternatives [8] 3. **Variety Seekers**: Early adopters of innovation, seeking different product forms and flavors [9] Product Performance - The oral tobacco category grew by 12.5% last year, with nicotine pouches driving over 40% growth [10] - Altria's oral tobacco products segment grew adjusted OCI by a CAGR of 1.3% over the past five years [10] - The introduction of on! PLUS, a premium nicotine pouch, is expected to meet evolving consumer preferences [11][12] Regulatory Environment - Altria is advocating for improved enforcement against illicit markets, which represent a significant portion of the e-vapor category [17][18] - The company is optimistic about FDA authorizations for new products, including additional flavors and strengths for on! PLUS [13][14] Financial Performance - Altria's smokable product segment has grown adjusted OCI by more than $950 million over the past five years, with adjusted OCI margins expanding to 63.4% [26] - The company has delivered over $100 billion in cash returns to shareholders since the 2008 PMI spinoff, with a recent quarterly dividend increase of 3.9% [35][36] Future Growth Opportunities - Altria is exploring international and non-nicotine opportunities, including energy products through collaboration with Proper Wild [33][34] - The company aims to commercialize at least five non-nicotine products by 2028, with strong consumer interest in energy shots and gummies [34][35] Strategic Initiatives - The Optimize and Accelerate initiative aims to generate at least $600 million in savings to reinvest in growth, enhancing operational and financial flexibility [21][22] - Altria is modernizing its marketing strategies to engage consumers through new channels, including social media and in-person events [14][15] Conclusion - Altria is well-positioned to capture the growing smoke-free opportunity while maintaining strong cash returns and shareholder value through its traditional tobacco businesses [38]

1 | ALCS | CAGNY | 2.18.26 | For Investor Purposes ONLY CAGNY 2026 Safe Harbor Statement ALCS | CAGNY | 2.18.26 | For Investor Purposes ONLY ALCS | CAGNY | 2.18.26 | For Investor Purposes ONLY Statements in this presentation that are not reported financial results or other historical information are "forward- looking statements" within the meaning of Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current plans, estimates and expectations, and are not guarantee ...

Core Viewpoint - Altria Group is considered a strong buy-and-hold investment despite controversies surrounding its tobacco business, with a history of benefiting long-term investors [1]. Financial Performance - Altria shares have generated annualized returns of nearly 18% over the past five years, outperforming the S&P 500's annualized total returns of around 13% during the same period [2]. - The company has a market capitalization of $112 billion, with a current stock price of $66.54 and a dividend yield of 6.25% [3]. - Altria's total returns since February 2021 have reached 128.6%, significantly higher than the S&P 500's 85.8%, Coca-Cola's 81.7%, and Procter & Gamble's 41.6% [6]. Dividend Growth - Altria is classified as a "Dividend King," having over 50 years of consecutive dividend growth, with a forward dividend yield of 6.3% [5]. - The company has maintained steady earnings and dividend growth in the low single-digit range, primarily through price increases on smokeable products [10]. Market Position and Challenges - Altria generates approximately 88% of its total net revenue from smokeable products, lagging behind competitors like Philip Morris International, which derives around 41.5% of its revenue from smoke-free products [7][8]. - Past investments in smoke-free products, such as Juul Labs and Njoy, have resulted in significant impairment losses and legal challenges [9]. Future Outlook - Altria's modest earnings growth is expected to support its 6.3% dividend, positioning the company for solid returns in the future [11]. - The potential for valuation expansion exists, as Altria currently trades at 12 times forward earnings compared to Philip Morris International's 22 times [13]. - The company could enhance its nicotine pouch business through acquisitions, which may lead to stronger earnings growth and improved stock performance [12].

Core Insights - Prevention Ed has been awarded a four-year contract worth $1.2 million through JUUL settlement funds to implement youth prevention and leadership programming in Montgomery County, Pennsylvania [1][4]. Funding and Programming - The funding will support research-aligned prevention programming, youth leadership development, and harm reduction related to nicotine use, including the establishment of the Montgomery County Teen Senate [2]. - Over the contract period, structured learning, peer leadership opportunities, and school-based prevention programming will be provided, with data collection and evaluation to track outcomes [3]. Organizational Goals and Impact - Prevention Ed emphasizes the importance of treating young people as equal partners in substance use prevention, providing them with research-informed information that reflects their real-world experiences [4]. - The initiative will also be supported by Prevention Ed's Global Prevention Fellowship, which prepares future prevention leaders through training and hands-on learning [5]. Organizational Background - Prevention Ed is recognized as a global leader in school-based substance use prevention, partnering with schools and communities worldwide to deliver tailored education and leadership initiatives [7].