Seeking Alpha • Aug 22

Vector Group: Absent A Higher Bid, Not Even A Puff Remains

Summary Vector Group shares surged 8.2% after announcement of acquisition by JT Group in all cash deal, representing 29.9% premium to where shares were not long ago. Despite successful growth in bottom line, Vector Group operates in declining tobacco market, with shrinking volume sales. Financial performance has been solid, but long-term outlook for tobacco industry is negative. The market is pricing in a possible bid from another firm, but absent that, upside looks non-existent. Read the full article on Seeking Alpha

Analyseartikel • Aug 14

It's Unlikely That Vector Group Ltd.'s (NYSE:VGR) CEO Will See A Huge Pay Rise This Year

Key Insights Vector Group will host its Annual General Meeting on 20th of August Salary of US$2.02m is part of CEO...

Seeking Alpha • Jul 27

Vector Group: Uncertainty Looms, Hold

Summary Vector Group Ltd. recommended as a hold due to growing headwinds and cautious outlook on Q1 2024 performance. The stock has gained 22.27% since previous coverage, but underwhelming MRQ performance and weak revisions suggest caution. Technical indicators show a bullish trajectory, but industry challenges and change in strategy may impact long-term sustainability. Read the full article on Seeking Alpha

Analyseartikel • Jul 05

Insufficient Growth At Vector Group Ltd. (NYSE:VGR) Hampers Share Price

With a price-to-earnings (or "P/E") ratio of 9.7x Vector Group Ltd. ( NYSE:VGR ) may be sending bullish signals at the...

Seeking Alpha • May 10

Vector Group: A Stable Market Share And An Attractive Multiple

Summary The company experienced a topline contraction due to a shipment decline during the quarter. The company has a strong market position and a continuously growing market share. The company's stock is available at an attractive discount to its historical levels, and the outlook is good. Read the full article on Seeking Alpha

Analyseartikel • Apr 04

Should You Think About Buying Vector Group Ltd. (NYSE:VGR) Now?

Vector Group Ltd. ( NYSE:VGR ), is not the largest company out there, but it received a lot of attention from a...

Analyseartikel • Mar 13

Vector Group Ltd. (NYSE:VGR) Could Be Riskier Than It Looks

When close to half the companies in the United States have price-to-earnings ratios (or "P/E's") above 17x, you may...

Seeking Alpha • Feb 13

Vector Group Ltd.: An Attractive Company With A Significant Upside Potential

Summary Vector Group Ltd. has gained 42.87% over the last 5 years and is undervalued with double-digit upside potential. VGR has a strong dividend history, beating sector medians, and a resilient and profitable tobacco business segment. The company's low-cost business model, growing market share, and attractive valuation make it a compelling investment opportunity. Read the full article on Seeking Alpha

Analyseartikel • Dec 14

Estimating The Intrinsic Value Of Vector Group Ltd. (NYSE:VGR)

Key Insights Using the 2 Stage Free Cash Flow to Equity, Vector Group fair value estimate is US$12.55 Vector Group's...

Seeking Alpha • Nov 18

Vector Group: Potential Dividend Cut Inbound

Summary Vector Group stands out by engaging in both tobacco sales and luxury real estate development, presenting a unique combination of industries under one corporate umbrella. The company's historical emphasis on dividend payments, coupled with an aggressive push into real estate development, raises the risk of a potential dividend cut, creating a challenge for income-focused investors. Vector's focus on the discount segment is supported by a differentiated distribution network. Liggett deliberately sells cigarettes through tobacco outlets and mass merchandisers rather than convenience stores. Read the full article on Seeking Alpha

Analyseartikel • Sep 16

Here's Why Vector Group (NYSE:VGR) Has Caught The Eye Of Investors

The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even...

Seeking Alpha • Sep 04

Vector Group Seems Promising Despite Regulatory Risks

Summary Vector Group manufactures and sells cigarettes and also invests in real estate through apartment buildings, hotels, and commercial properties on the side. The company has a strong growth history and high profit margins, making it an attractive investment option. Despite regulatory risks in the tobacco industry, my discounted cash flow model suggests a moderate upside for VGR, supporting a buy rating for the stock. Read the full article on Seeking Alpha

Analyseartikel • Aug 07

Estimating The Fair Value Of Vector Group Ltd. (NYSE:VGR)

Key Insights Vector Group's estimated fair value is US$9.84 based on 2 Stage Free Cash Flow to Equity With US$11.59...

Seeking Alpha • Jun 20

Vector Group: A Potential Value Trap, Hold

Summary Vector Group's EPS growth has declined, with no future growth expected due to industry uncertainties and regulatory changes. The company's dividend policy has been volatile, making it an unreliable income investment despite strong cash flow. Current valuation may be a value trap, with downside potential outweighing upside due to challenging business environment and weakening fundamentals. Read the full article on Seeking Alpha

Analyseartikel • Jun 15

Vector Group (NYSE:VGR) Has Affirmed Its Dividend Of $0.20

The board of Vector Group Ltd. ( NYSE:VGR ) has announced that it will pay a dividend on the 29th of June, with...

Analyseartikel • Apr 12

Is It Time To Consider Buying Vector Group Ltd. (NYSE:VGR)?

Vector Group Ltd. ( NYSE:VGR ), is not the largest company out there, but it saw a double-digit share price rise of...

Analyseartikel • Mar 10

Vector Group (NYSE:VGR) Will Pay A Dividend Of $0.20

The board of Vector Group Ltd. ( NYSE:VGR ) has announced that it will pay a dividend of $0.20 per share on the 30th of...

Analyseartikel • Feb 20

Is Now The Time To Put Vector Group (NYSE:VGR) On Your Watchlist?

Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks...

Seeking Alpha • Feb 14

Vector Q4 2022 Earnings Preview

Vector (NYSE:VGR) is scheduled to announce Q4 earnings results on Wednesday, February 15th, after market close. The consensus EPS Estimate is $0.23 (-11.5% Y/Y) and the consensus Revenue Estimate is $335.3M (+6.9% Y/Y). Over the last 2 years, VGR has beaten EPS estimates 38% of the time and has beaten revenue estimates 88% of the time.

Seeking Alpha • Jan 28

Revisiting Our Vector Group Ltd. Trade

Summary The tobacco business has gained market share and as of last quarter was at its highest market share within the industry since 1984. Management has held the dividend steady at $0.20/share. With shares up strongly, we think dividend investors and income investors who were using VGR as a bond proxy might now have diverging strategies. Last July we wrote about Vector Group Ltd. (VGR) and why we were bullish the stock. As it turns out, we were a few months early to the trade, but for those who liked the trade and acted upon it there are still some really solid unrealized gains. While the S&P 500 is up 3.44% since that article was published, Vector Group shares have moved higher by 15.60% and with the dividend factored into the returns, the total return for Vector Group is 20.28% since publication. Sure, it would have been better to be buyers in late September or in October at prices in the single digits, but it is very difficult to get upset with a holding that has a total return multiples higher than the general market. The capital gains and total return realized on this bond proxy trade over the last six months has been very impressive. (Seeking Alpha) This brings us to our predicament today. Back when we initially covered Vector Group, we laid out the case for why the market was overreacting to the company's ability to continue to pay the dividend after spinning off its real estate brokerage business, Douglas Elliman (DOUG), and argued that with management now focused on building up another discount brand that the dividend was probably safer than many realized. In fact, we argued that over time not only would the dividend be getting "safer" as management built up the new brand, but could also increase moving forward. Today we still believe this to be true, especially after last quarter's results showed the deep-discount Montego brand growing very strongly and the company succeeding in grabbing vacated market share. Revenues from continuing operations were up sharply in the quarter and so too were earnings - although we would point out that adjusted net income was up a less impressive 10% (although that is still very strong!). Management Is Delivering When we last discussed Vector Group, it was a company in transition. Management was reinvigorated to be launching a brand to grab market share from a competitor who had pulled out of the market after having just spun off its real estate brokerage business. The story then was that they were going to work to grab market share with this amazing opportunity and EBITDA would follow (which would replace revenues and earnings lost from the loss of the brokerage). Vector Group's Liggett Tobacco subsidiary was already grabbing market share in recent years, but was able to dramatically grow the business when a competitor exited the deep discount market. (Vector Group Q3 2022 Investor Presentation) Management, in our eyes, has delivered so far. Market share has been gained, and as was discussed on the conference call back in November, the company achieved its highest market share total since 1984. The Montego brand rollout has been successful and we suspect that profitability will ramp up in the quarters ahead as management adjusts pricing across all of their brands to optimize prices for the consumer and the company's realized profits. Stronger Balance Sheet In our last article we highlighted three ways that management could keep the dividend at its current level. They were as follows: 1. Deliver on growth strategy with the Montego brand 2. Begin paying down debt when possible 3. Buy back company stock with the cash on hand (which reduces outflows via dividend expense) Management is succeeding on our first point, and we think that the story there will continue to play out over the next few quarters as well, as growth will eventually shift from market share to growing revenues and profits via price adjustments and cost management. On the second point, we highlighted how the company had bonds outstanding with a 10.5% coupon which were trading at a discount. Simply using cash on the balance sheet to buy these bonds on the open market would create significant interest expense savings and the net of interest income lost and interest expense saved would help shore up the dividend.

Analyseartikel • Dec 02

Vector Group (NYSE:VGR) Has Affirmed Its Dividend Of $0.20

The board of Vector Group Ltd. ( NYSE:VGR ) has announced that it will pay a dividend on the 20th of December, with...

Seeking Alpha • Nov 09

Vector Group: It's Smokin'

Summary Some of Vector Group's numbers were lower, but that came primarily from marketing spend associated with the successful marketing of its Montego brand. The weak economic environment plays to VGR's discount business model that should continue on for some time as inflation, while likely to fall some, will probably stick around. As the company should continue to grow share organically via its discount brands, at the same time, it's transitioning its deep discount Montego to a higher-priced option.

Seeking Alpha • Nov 01

Vector Q3 2022 Earnings Preview

Vector (NYSE:VGR) is scheduled to announce Q3 earnings results on Wednesday, November 2nd, before market open. The consensus EPS Estimate is $0.27 (-20.6% Y/Y) and the consensus Revenue Estimate is $309.1M (-52.6% Y/Y). Over the last 2 years, VGR has beaten EPS estimates 50% of the time and has beaten revenue estimates 88% of the time. Over the last 3 months, EPS estimates have seen 0 upward revisions and 2 downward. Revenue estimates have seen 1 upward revision and 0 downward.

Analyseartikel • Aug 26

Vector Group (NYSE:VGR) Is Due To Pay A Dividend Of $0.20

The board of Vector Group Ltd. ( NYSE:VGR ) has announced that it will pay a dividend of $0.20 per share on the 29th of...

Seeking Alpha • Aug 19

Vector Group Q2: The Good And The Ugly

Vector Group recently reported strong results for the first half of 2022. However, on closer inspection, the strong sales growth was accompanied by a significant decline in gross margin. The company benefits from the currently high rates of inflation as consumers increasingly switch to discount cigarette brands. Vector's balance sheet is still marked from overly generous dividend payments of the past, but going forward the stock does not appear overly risky as a "bond proxy". Introduction The now almost pure-play tobacco company Vector Group (VGR) reported its second-quarter results on August 5 - it is the second quarterly report of the company after the spin-off of most of its realty operations (Douglas Elliman Inc. (DOUG)) in late December 2021. I have already reported on the company in December and discussed its expected earnings power and balance sheet strength after the spin-off. With the second quarter results on the table, I thought it appropriate to take a closer look at the company's performance and recall that DOUG was spun off essentially debt-free, while the arguably highly cash-generative tobacco remainco had more than $1.4 billion in debt and lease obligations to shoulder. In this article, I will not elaborate on the results of the remaining real estate business - with half-year revenues of $15.9 million (i.e., 2.3% of total revenues) and mostly only minority interests in several properties, it is hardly significant. While Tobacco Majors Report Declining Volumes, Vector Reports Strong Growth Vector's tobacco business unit (Liggett) reported quarterly sales growth of approximately 13.6% year-over-year, driven by a 16.2% year-over-year increase in quarterly volumes. Excluding excise taxes, sales growth was still in the double digits (12.2%). However, Vector's cost of sales also increased sharply, leading to a decline in gross margin of 11.6 percentage points to 48%. However, according to management, the decline in gross margin is not only due to the increase in deep-discount cigarette volume (Montego brand), but also to "a difficult year-over-year comparison due to increased wholesale inventory in the second quarter of 2021 and increased MSA costs". Liggett, which includes discount cigarette brands such as Eagle 20's, Pyramid, Montego, Grand Prix and others, increased its market share to over 5% from just over 4% in the year-ago quarter. In principle, this is not surprising, as people have less disposable income in their pockets due to high inflation. According to management, the retail prices of Montego, Eagle 20's and Pyramid are about 50%, 30% and 15%, respectively, below those of leading premium brands. Vector is able to operate profitably at such deep discounts in part because of the company's favorable treatment under the Master Settlement Agreement ((MSA)) due to its small sales volume (slide 5, Q2 earnings presentation). However, this likewise implies that Vector's growth prospects are quite limited. In any case, the expansion of the company's market share since 1999 (Figure 1) is worth noting, and as a still small company, I would not over-interpret the MSA-related growth constraints. It appears that Liggett has been taking market share from major tobacco companies Altria Group (MO) and Imperial Brands' (OTCQX:IMBBY) U.S. subsidiary ITG Brands, while British American Tobacco (BTI) (through Reynolds American) has increased its market share through the acquisitions of Newport and Santa Fe, while its legacy brands' market share continues to decline. Figure 1: Slide 6 of Vector's Q2 2022 earnings presentation (taken from seekingalpha.com) The impact of increasing price consciousness among consumers in a highly inflationary environment was discussed in my previous article, and slide 7 of Vector's second quarter 2022 presentation illustrates the change in behavior very well - premium brand volumes declined by 8.9% in the latest 12-month period ending June 30, 2022, while the decline in traditional discount brands' volume by 12.9% is somewhat surprising, considering that the segment includes all of Liggett's brands except Montego, which is a deep discount brand (i.e., average selling price at least 40% below that of the leading premium brands). This segment grew by 14.3% in volume terms. However, it remains to be seen whether the deep-discount segment will continue to grow strongly for the remainder of the year, as Vector did not increase Montego's price per pack until January 2022, while list prices for the other brands have increased by $1.22 per pack since January 2020 (Figure 2). On a positive note, Vector's brands are predominantly sold in non-EDLP stores. "Every Day Low Price" stores are required to sell brands at a price equal to or lower than the lowest price offered for all brands sold in the store. Overall, Liggett's presence is concentrated in tobacco outlets and discount mass merchandisers rather than convenience stores. However, I would be cautious about extrapolating market share growth into the future, as I believe consumers are adapting relatively quickly and most of the trading down to discount brands has already occurred. Figure 2: Price increases of Liggett's brands since 2020 (own work, based on the data found on slide 10 of Vector's Q2 2022 earnings presentation) A Look At Vector's Half-Year Balance Sheet In my last article, I pointed out that I considered VGR's balance sheet to be relatively weak. Financial debt of $1.4 billion resulted in interest payments of over $100 million in 2021, which is quite significant considering the three-year average normalized free cash flow of $190 million. However, as Vector's three-year financial statements published in March 2022 - on which the above calculation is based - still include cash flows attributable to the spun-off Douglas Elliman, the free cash flow of the tobacco business is likely to be in the order of $150 million. As a result, Vector's interest coverage ratio is quite low. Not much has changed in the first half of 2022, and the company still has $1.4 billion of debt outstanding, consisting of 5.75% senior secured notes due 2029 ($875 million) and about $550 million of 10.5% senior unsecured notes due 2026. The Company effectively "exchanged" its 6.125% notes issued in January 2017 for 5.75% notes (i.e., a 37.5 basis point discount) in February 2021. Compared to the monthly-average three-month LIBOR rates of 1.026% in January 2017 and 0.190% in February 2021 (i.e., an 83.6 basis point decline) on which the long-term rates are likely based, the relative premium paid by Vector appears reasonable and does not suggest desperation. The relatively low interest rate given Vector's risk profile at that time is certainly due to the collateralization of the bonds (p. F-39, 2021 10-K). However, with rising interest rates and the approaching maturity of the 10.5% senior unsecured notes, one might think of a potential increased interest rate risk for Vector. The first tranche of notes was issued in a private placement in November 2018, when the monthly-average three-month LIBOR rate was 2.649%. So far in 2022, that rate has increased 265 basis points to 2.901% in August. Personally, I expect the Federal Reserve to stop raising interest rates at a long-term rate of around 4.5% (which is, of course, a more or less blind guess), so it does not seem unreasonable to expect that Vector will be able to refinance its 10.5% notes at a fairly similar or probably slightly higher rate. Figure 3 shows a sensitivity analysis that assumes the company's free cash flow declines or grows by 5% per year or does not change at all, and that Vector refinances its notes at a rate between 10.5% and 14.0%. Even in the unlikely event that Vector's free cash flow declines at an annual rate of 5%, the company will be able to service its debt. Of course, the dividend would be in danger of being cut because the company currently pays out $0.80 per share annually, which translates to more than $120 million in related expenses per year. In my opinion, it does not seem unreasonable to expect that the company is able to grow its free cash flow at a low- to mid-single digit rate, considering the previously discussed positive development of its tobacco business and the company's free cash flow generated to date in the first half of 2022 (p. 7, Q2 2022 10-Q). However, investors should keep a close eye on the company's gross margin going forward. Figure 3: Interest rate sensitivity analysis, taking the refinancing of the 10.5% 2026 notes into account; note that the pre-interest estimate of free cash flow is a rough estimate as it does not factor in a potential tax-shield effect (own work, based on the company's 2021 10-K and own estimates) Bondholders of Vector Group's 10.5% bonds appear to share my assessment of the company's financial condition, namely that the company is not in danger of insolvency, although it is certainly not a low-risk company. The notes' price fell along with the broader market in June 2022, bottoming out at 92 cents on the dollar. Since then, they have returned to par value levels. By comparison, in the midst of the pandemic-driven sell-off, the bonds briefly traded for less than 80 cents on the dollar, due in part to the company's much greater exposure to the real estate market and, of course, the acute liquidity crisis at the time. In addition to the unchanged gross debt, it seems worth noting that cash and cash equivalents increased significantly compared to year-end 2021, from $193 million to $324 million, confirming that the tobacco business throws-off significant amounts of cash. However, considering that the company also reported a nearly $140 million increase in cash and cash equivalents at the end of the first half of 2021 compared to year-end 2020, one might conclude that the increase in cash is not due to improved cash flow conversion, even if the prior year results still include Douglas Elliman. In any case, Vector Group's liquidity remains strong, and it is a stretch to conclude that the company is on the verge of insolvency. This is also underscored by the positive test results associated with the requirements set forth in the debt covenants of Vector's 5.75% and 10.25% notes:

Seeking Alpha • Aug 04

Vector Q2 2022 Earnings Preview

Vector (NYSE:VGR) is scheduled to announce Q2 earnings results on Thursday, August 4th, before market open. The consensus EPS Estimate is $0.35 (-44.4% Y/Y) and the consensus Revenue Estimate is $337.7M (-53.7% Y/Y). Over the last 2 years, VGR has beaten EPS estimates 63% of the time and has beaten revenue estimates 75% of the time. Over the last 3 months, EPS estimates have seen 1 upward revision and 1 downward. Revenue estimates have seen 0 upward revisions and 1 downward.

Seeking Alpha • Jul 26

Vector Group: Big Dividend Yield With Growth Potential

VGR pays a big dividend, but there are reasons for concern. VGR management appears to be delivering on the third tobacco brand, Montego, they are looking to grow. While dividend coverage looks weak by some measurements, VGR management has multiple ways to improve free cash flow to help solidify the dividend. When it comes to investing in tobacco companies with significant operations in the United States, we generally have little interest, especially as there is a lack of M&A possibilities and the Food & Drug Administration, FDA, is most likely going to be more aggressive moving forward as it pertains to industry regulations. However, from time-to-time, we do find interesting plays, and today we want to look at one of those names. Vector Group Ltd. (VGR) is a small player in the U.S. tobacco industry (the company's market cap is just below $1.7 billion, and they have single-digit market share), focused on the value/discount portion of the market. The company has been around for quite a while, but many investors are unaware of the company because their brands are lesser known, and they target the lower end of the market. While the company may be one of the lesser followed tobacco-related names, management has done a decent job running the company over the years. Background Vector Group has benefitted from the terms of the Tobacco Master Settlement Agreement, or MSA, which gave smaller players in the industry favorable treatment versus the majors in order to get them to quickly sign onto the agreement. Vector Group, like other smaller players, has benefitted from the structure of the MSA and taken advantage of what they are allowed to do under those terms in order to grow the company. That is what really sets Vector Group apart from the industry; the company is growing, not just revenues or EPS, but actual volumes and gaining market share with each of their brands while doing so. Since 1999, Vector Group has steadily grown market share and tobacco group EBITDA. (Vector Group Investor Presentation) The above graphic, taken from Vector Group's most recent investor presentation, shows that management is capable of growing the company in a very difficult environment. Story Moving Forward Now that Vector Group has had some time to operate as a predominately tobacco-focused company following the completed spin-off of Douglas Elliman (DOUG), we think that management will refocus on the tobacco business and use the company's free cash flow (which there is admittedly less of now) to help grow the company and also make the dividend safer. In fact, management has already discussed how they have focused on the company's Montego brand in the most recent quarterly results conference call. The growth there looks promising, with market share having increased nearly 5x (growing from 0.40% to 1.90%) and distribution (measured by stores) increasing by 2.33x. Diving deeper into the market, Montego has a roughly 19% market share of the deep discount segment in Q1 of 2022 versus last year's 4.5% market share in the same period. Management also stated that, "for the most recent 13-week period Eagle 20s and Montego are now the third and fourth-largest discount brands respectively, in the U.S. market," which in our opinion demonstrates management's ability to grow brands in a segment of the market where they have developed a niche. Also helping the company grow volumes was the decision from competitor KT&G to exit the market. Management believes that they were able to grab 40% of KT&G's 2.8% U.S. market share. Couple that with consumers deciding to migrate to lower-cost tobacco products due to inflation, and Vector Group begins to look like an interesting play. Data by YCharts While it appears that Vector Group is one of the few tobacco names actually growing volumes organically, the company also should be able to increase free cash flow via financing activities. The company has ample liquidity with their next bond maturity in 2026, and those bonds look ripe for some type of action by Vector Group because they carry a 10%+ coupon (not yield, but COUPON!). That issuance has a call feature where Vector Group could call the bonds at $105.25 by 8/26/2022, but with the bonds trading in the mid-90s right now, the market thinks that it is highly unlikely that the bonds are called. We like the growth prospects for the company, but the easiest way to create cash flow and increase EPS might be to pay down these bonds and/or refinance them. For each $100 million that the company could retire, they would save $10.5 million annually in interest costs. Also of importance for investors is that the company will be less impacted by the FDA's preliminary ruling prohibiting menthol use as a characterizing flavor in cigarettes. Liggett's retail sales volume attributable to menthol was 19% of total volumes versus the industry's 35% sales volume. This ruling will most likely take years to implement, but the good news is that Vector's sales will be much less impacted compared to competitors. Dividend Vector Group currently pays a 7.35% dividend at a rate of $0.20/share per quarter, or $0.80/share annually. While some question how safe the dividend is after the Douglas Elliman spin-off, we think that the moves that management took during the depths of COVID have benefitted the company and positioned the dividend to stand a better chance of not getting cut again. While the dividend is now half of what it was before, we believe that management's decision to not bring the 5% annual stock dividend back was prudent, as it will now keep the share count relatively stable and allow the company to keep overall dividend outflows capped (unless they issue more shares). Our point here is that while a 5% stock dividend may have been nice for investors (and we assume their employees via retirement plans), that policy made it quite tough on the company's finances because even if the dividend rate remained unchanged in any given year, overall the company was still having to pay out 5% more in dividends. Currently, the dividend is covered (whether you measure this on payout ratio, dividend coverage via traditional means, or dividend coverage utilizing cash flow), and with management working on building up another brand, we suspect that the dividend might be safer than it appears. Once the Montego brand moves from growth mode and into profit mode, the resulting increase in margins might very well solidify the dividend in the eyes of those currently questioning it. We say this because management believes that margins will improve once they decide to focus on profits with Montego instead of growth. If we look at the growth, year-over-year, the Q1 tobacco revenues were up from $268.5 million to $309 million - and if margins rose to their 2021 Q1 levels (roughly 29.39%), the tobacco operating income would be close to $91 million instead of the $75.6 million that the company reported in 2022's Q1. Our Take/Conclusion First, we want to be clear that we do not really get excited over tobacco names. Very rarely have tobacco names ever been ranked as buys on our equity buy lists (we would note that quite often they have been ranked as buys for individual bonds the companies were issuing), but we have included them as 'Holds' for equity portfolios, especially when they were priced in a manner to serve as a bond proxy.

Seeking Alpha • Apr 20

Vector Group: Dividend Safety Looking Thin Without Douglas Elliman

Vector Group completed their Douglas Elliman spin-off at the end of 2021, thereby making their company tobacco-focused. Whilst tobacco is economically resilient, the loss of their Douglas Elliman operating cash flow makes the outlook for their dividend coverage worse and likely to see thin coverage at best. This spin-off also saw their cash balance decrease considerably more than their debt, thereby pushing their leverage higher. When utilizing their estimated underlying residual operating cash flow following their spin-off, it now appears that their leverage will be very high. These variables are toxic for dividend safety, which offsets the desirability of their high yield and thus I believe that maintaining my hold rating is appropriate.

Sneeuwvlok Score
Waardering	3/6
Toekomstige groei	2/6
Prestaties in het verleden	5/6
Financiële gezondheid	1/6
Dividenden	4/6

Historische aandelenkoersen
Huidige aandelenkoers	US$14.99
52 Week Hoogtepunt	US$15.53
52 Week Laag	US$9.28
Bèta	1
1 maand verandering	0.47%
3 maanden verandering	42.76%
1 Jaar Verandering	35.29%
3 jaar verandering	8.62%
5 jaar verandering	33.01%
Verandering sinds IPO	248.01%

	VGR	US Tobacco	US Markt
7D	0.5%	1.5%	0.5%
1Y	35.3%	-3.8%	23.5%

VGR volatility
VGR Average Weekly Movement	3.6%
Tobacco Industry Average Movement	9.3%
Market Average Movement	7.2%
10% most volatile stocks in US Market	16.7%
10% least volatile stocks in US Market	3.1%

VGR fundamentele statistieken
Marktkapitalisatie	US$2.36b
Inkomsten(TTM)	US$194.39m
Inkomsten(TTM)	US$952.97m

VGR resultatenrekening (TTM)
Inkomsten	US$952.97m
Kosten van inkomsten	US$478.60m
Brutowinst	US$474.37m
Overige uitgaven	US$279.98m
Inkomsten	US$194.39m

Winst per aandeel (EPS)	1.23
Brutomarge	49.78%
Nettowinstmarge	20.40%
Schuld/Eigen Vermogen Verhouding	-192.7%

Gegevens	Laatst bijgewerkt (UTC-tijd)
Bedrijfsanalyse	2024/10/07 12:04
Aandelenkoers aan het einde van de dag	2024/10/07 00:00
Inkomsten	2024/06/30
Jaarlijkse inkomsten	2023/12/31

Pakket	Gegevens	Tijdframe	Voorbeeld Amerikaanse bron ^*
Financiële gegevens bedrijf	10 jaar	Resultatenrekening Kasstroomoverzicht Balans	SEC-formulier 10-K SEC-formulier 10-Q
Consensus schattingen analisten	+3 jaar	Financiële prognoses Koersdoelen analisten	Onderzoeksrapporten van analisten Blue Matrix
Marktprijzen	30 jaar	Aandelenprijzen Dividenden, splitsingen en acties	ICE Marktgegevens SEC-formulier S-1
Eigendom	10 jaar	Top aandeelhouders Handel met voorkennis	SEC-formulier 4 SEC-formulier 13D
Beheer	10 jaar	Leiderschapsteam Raad van bestuur	SEC-formulier 10-K SEC-formulier DEF 14A
Belangrijkste ontwikkelingen	10 jaar	Bedrijfsaankondigingen	SEC-formulier 8-K

Analist	Instelling
John Eade	Argus Research Company
Pallav Mittal	Barclays
T Allen	Jefferies LLC

This company has been acquired

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Recent nieuws en updates

Japan Tobacco Inc. (TSE:2914) completed the acquisition of Vector Group Ltd. (NYSE:VGR) from BlackRock, Inc. (NYSE:BLK), The Vanguard Group, Inc., Frost Gamma Investments Trust, Lorber Alpha II Limited, Howard M. Lorber and others.

Japan Tobacco Inc. (TSE:2914) entered into a definitive agreement to acquire Vector Group Ltd. (NYSE:VGR) from BlackRock, Inc. (NYSE:BLK), The Vanguard Group, Inc., Frost Gamma Investments Trust and others for approximately $2.4 billion.

Vector Group: Absent A Higher Bid, Not Even A Puff Remains

Vector Group to Be Delisted from NYSE

Price target increased by 10% to US$16.00

It's Unlikely That Vector Group Ltd.'s (NYSE:VGR) CEO Will See A Huge Pay Rise This Year

Recent updates

Japan Tobacco Inc. (TSE:2914) completed the acquisition of Vector Group Ltd. (NYSE:VGR) from BlackRock, Inc. (NYSE:BLK), The Vanguard Group, Inc., Frost Gamma Investments Trust, Lorber Alpha II Limited, Howard M. Lorber and others.

Japan Tobacco Inc. (TSE:2914) entered into a definitive agreement to acquire Vector Group Ltd. (NYSE:VGR) from BlackRock, Inc. (NYSE:BLK), The Vanguard Group, Inc., Frost Gamma Investments Trust and others for approximately $2.4 billion.

Vector Group: Absent A Higher Bid, Not Even A Puff Remains

Vector Group to Be Delisted from NYSE

Price target increased by 10% to US$16.00

It's Unlikely That Vector Group Ltd.'s (NYSE:VGR) CEO Will See A Huge Pay Rise This Year

Second quarter 2024 earnings released: EPS: US$0.34 (vs US$0.24 in 2Q 2023)

Vector Group: Uncertainty Looms, Hold

Vector Group Ltd., Annual General Meeting, Aug 20, 2024

Insufficient Growth At Vector Group Ltd. (NYSE:VGR) Hampers Share Price

First quarter dividend of US$0.20 announced

Vector Group Ltd. Declares Quarterly Cash Dividend, Payable on June 14, 2024

Vector Group: A Stable Market Share And An Attractive Multiple

First quarter 2024 earnings released: EPS: US$0.22 (vs US$0.22 in 1Q 2023)

Should You Think About Buying Vector Group Ltd. (NYSE:VGR) Now?

Vector Group Ltd. (NYSE:VGR) Could Be Riskier Than It Looks

Upcoming dividend of US$0.20 per share

Vector Group Ltd. Declares Regular Quarterly Cash Dividend on Its Common Stock, Payable on March 14, 2024

Full year 2023 earnings released: EPS: US$1.17 (vs US$1.01 in FY 2022)

Vector Group Ltd.: An Attractive Company With A Significant Upside Potential

Now 21% undervalued after recent price drop

Insufficient new directors

Independent Chairman of the Board recently sold US$2.0m worth of stock

Independent Chairman of the Board notifies of intention to sell stock

Estimating The Intrinsic Value Of Vector Group Ltd. (NYSE:VGR)

Vector Group Ltd. Declares Quarterly Cash Dividend, Payable on December 15, 2023

Vector Group: Potential Dividend Cut Inbound

Third quarter 2023 earnings released: EPS: US$0.33 (vs US$0.25 in 3Q 2022)

Here's Why Vector Group (NYSE:VGR) Has Caught The Eye Of Investors

Vector Group Seems Promising Despite Regulatory Risks

Vector Group Ltd. Declares Quarterly Cash Dividend, Payable on September 15, 2023

Estimating The Fair Value Of Vector Group Ltd. (NYSE:VGR)

Second quarter 2023 earnings released: EPS: US$0.24 (vs US$0.25 in 2Q 2022)

Vector Group: A Potential Value Trap, Hold

Vector Group Ltd., Annual General Meeting, Jul 26, 2023

Vector Group (NYSE:VGR) Has Affirmed Its Dividend Of $0.20

Independent Chairman of the Board recently sold US$2.1m worth of stock

Vector Group Declares Quarterly Cash Dividend, Payable on June 29, 2023

First quarter 2023 earnings released: EPS: US$0.22 (vs US$0.21 in 1Q 2022)

Is It Time To Consider Buying Vector Group Ltd. (NYSE:VGR)?

Independent Chairman of the Board recently sold US$1.4m worth of stock

Vector Group (NYSE:VGR) Will Pay A Dividend Of $0.20

Director recently sold US$169k worth of stock

Is Now The Time To Put Vector Group (NYSE:VGR) On Your Watchlist?

Vector Q4 2022 Earnings Preview

Revisiting Our Vector Group Ltd. Trade

Executive VP exercised options and sold US$170k worth of stock

Independent Chairman of the Board notifies of intention to sell stock

Independent Chairman of the Board recently sold US$5.7m worth of stock

Vector Group (NYSE:VGR) Has Affirmed Its Dividend Of $0.20

Independent Chairman of the Board notifies of intention to sell stock

Independent Chairman of the Board recently sold US$3.2m worth of stock

Independent Chairman of the Board notifies of intention to sell stock

Director recently sold US$161k worth of stock

Vector Group: It's Smokin'

Third quarter 2022 earnings released: EPS: US$0.25 (vs US$0.32 in 3Q 2021)

Vector Q3 2022 Earnings Preview

Upcoming dividend of US$0.20 per share

Senior VP recently bought US$74k worth of stock

Vector Group (NYSE:VGR) Is Due To Pay A Dividend Of $0.20

Vector Group Q2: The Good And The Ugly

Director recently sold US$105k worth of stock