Altria Group, Inc.

XTRA:PHM7 Stock Report

Market Cap: €91.4b

Altria Group Valuation

Is PHM7 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PHM7 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PHM7 (€54.55) is trading below our estimate of fair value (€129.96)

Significantly Below Fair Value: PHM7 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PHM7?

Key metric: As PHM7 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for PHM7. This is calculated by dividing PHM7's market cap by their current earnings.
What is PHM7's PE Ratio?
PE Ratio9.3x
EarningsUS$10.26b
Market CapUS$94.96b

Price to Earnings Ratio vs Peers

How does PHM7's PE Ratio compare to its peers?

The above table shows the PE ratio for PHM7 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.3x
ITC ITC
28.9x9.6%₹5.9t
PM Philip Morris International
20.6x9.4%US$204.0b
2914 Japan Tobacco
15.6x6.8%JP¥7.5t
IMB Imperial Brands
8.1x-4.8%UK£21.0b
PHM7 Altria Group
9.3x-4.2%€95.0b

Price-To-Earnings vs Peers: PHM7 is good value based on its Price-To-Earnings Ratio (9.3x) compared to the peer average (18.3x).

Price to Earnings Ratio vs Industry

How does PHM7's PE Ratio compare vs other companies in the Global Tobacco Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PHM7 9.3xIndustry Avg. 11.6xNo. of Companies8PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PHM7 is good value based on its Price-To-Earnings Ratio (9.3x) compared to the Global Tobacco industry average (11.7x).

Price to Earnings Ratio vs Fair Ratio

What is PHM7's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PHM7 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.3x
Fair PE Ratio20.2x

Price-To-Earnings vs Fair Ratio: PHM7 is good value based on its Price-To-Earnings Ratio (9.3x) compared to the estimated Fair Price-To-Earnings Ratio (20.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PHM7 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€54.55
€52.45
-3.8%
13.9%€69.34€39.90n/a12
Nov ’25€50.02
€50.88
+1.7%
14.1%€67.36€38.76n/a12
Oct ’25€46.23
€47.46
+2.7%
15.3%€65.56€36.82n/a12
Sep ’25€48.33
€45.63
-5.6%
16.3%€65.40€34.94n/a13
Aug ’25€46.21
€46.13
-0.2%
17.9%€67.65€34.29n/a13
Jul ’25€42.90
€44.86
+4.6%
18.8%€67.98€33.53n/a13
Jun ’25€42.13
€43.37
+2.9%
17.8%€67.70€33.85n/a14
May ’25€40.98
€43.76
+6.8%
17.8%€68.39€34.19n/a14
Apr ’25€40.48
€43.40
+7.2%
17.9%€67.96€33.61n/a14
Mar ’25€37.62
€43.53
+15.7%
18.2%€67.75€33.50n/a14
Feb ’25€37.91
€43.54
+14.9%
18.0%€67.16€33.21n/a14
Jan ’25€36.34
€42.75
+17.6%
15.4%€64.12€33.89n/a16
Dec ’24€39.00
€43.13
+10.6%
15.4%€64.18€33.92n/a16
Nov ’24€37.68
€44.86
+19.1%
15.3%€65.93€34.85€50.0217
Oct ’24€40.04
€46.01
+14.9%
13.4%€65.25€34.49€46.2317
Sep ’24€40.75
€45.84
+12.5%
13.5%€64.77€34.24€48.3317
Aug ’24€41.39
€45.29
+9.4%
14.1%€64.13€33.90€46.2117
Jul ’24€41.27
€45.29
+9.7%
14.1%€64.13€33.90€42.9017
Jun ’24€41.53
€45.95
+10.6%
14.1%€65.06€34.39€42.1316
May ’24€42.86
€46.31
+8.1%
12.6%€64.04€34.77€40.9815
Apr ’24€41.06
€46.74
+13.8%
12.9%€64.53€35.03€40.4814
Mar ’24€43.18
€46.36
+7.4%
14.0%€65.17€34.45€37.6216
Feb ’24€43.24
€44.95
+3.9%
14.1%€63.72€33.68€37.9116
Jan ’24€42.81
€46.46
+8.5%
14.1%€64.15€34.91€36.3416
Dec ’23€44.35
€47.49
+7.1%
14.4%€65.99€35.91€39.0016
Nov ’23€46.94
€50.76
+8.1%
15.3%€68.83€36.44€37.6817

Analyst Forecast: Target price is lower than the current share price.

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