Altria Shareholders Watch as Major Investor Trims Stake Ahead of Earnings

Altria US02209S1033

As Altria Group prepares to release its fourth-quarter and full-year 2025 financial results, a notable shift has occurred within its shareholder base. The market is closely monitoring a significant reduction in holdings by a key institutional investor. All attention now turns to whether the upcoming earnings report can offset the revenue weaknesses recently observed.

Investors are currently weighing the company's recent performance against its projections for 2025. In its last reported quarter, Altria posted earnings per share (EPS) of $1.45, a figure that narrowly surpassed the consensus estimate of $1.44.

However, the revenue picture presented greater challenges:
* Quarterly revenue reached $5.25 billion, falling short of the $5.31 billion analysts had anticipated.
* This represented a year-over-year decline of 3.0%.
* The company's EPS guidance for 2025 remains between $5.37 and $5.45.

This drop in sales highlights the persistent headwinds facing the tobacco industry, particularly within the smokable products segment. The financial report scheduled for January 29th carries added weight, as it must demonstrate Altria's ability to maintain its profit targets in the face of these declining revenues.

Institutional Holder Adjusts Position

In a move registered by the market, Intact Investment Management Inc. has sold 39,410 Altria shares. This transaction reduced its position by 21.2%. While such a pronounced adjustment by a substantial investor is often viewed as a signal of increased caution regarding near-term prospects, it does not alone establish a definitive trend.

This activity brings Altria's ownership structure into sharper focus. Approximately 57.41% of the company's shares are held by institutional investors. In the days leading up to the earnings release, observers will be watching to see if other major shareholders follow suit by adjusting their stakes or choose to hold steady.

Shareholder Returns: Dividends and Buybacks

Despite the pressure on its top line, Altria continues its shareholder-friendly capital return policy. The firm pays a quarterly dividend of $1.06 per share. Annualized, this equates to $4.24 per share, yielding 6.8%.

Furthermore, the company has an active share repurchase program authorized for up to $2.0 billion. Markets frequently interpret such programs as a sign that management believes the stock is undervalued. The rate at which Altria utilizes this buyback authority and any potential adjustments following the earnings announcement are likely to be key discussion points on results day.