The chimps in the MSM are saying “Altria’s (MO) profits fall”. Well, if you spun off 75% or your business, yea, they would. But the 25% that is left did better this year than last and that is all that matters.
Here is the headlines out there today failed to tell you:
• Reported diluted earnings per share from continuing operations of $0.45 versus $0.34 in the second quarter of 2007 (32% growth)
• Adjusted diluted earnings per share from continuing operations up 12.2% to $0.46 versus $0.41 in the second quarter of 2007
• Altria reaffirms its 2008 guidance for adjusted diluted earnings per share from continuing operations in the range of $1.63 to $1.67, representing a growth rate of approximately 9% to 11%, from a base of $1.50 per share in 2007
• Philip Morris USA’s adjusted operating companies income up 3.8% versus the second quarter of 2007
• Marlboro achieves record retail share of 41.8%, up 0.8 share points versus the second quarter of 2007
• John Middleton Co. delivers strong cigar volume gains, up 11.0% versus the second quarter of 2007
Here is a buyback for you. Altria began repurchasing shares as part of its previously announced share repurchase program. Altria spent $1.2 billion and repurchased 53.5 million shares of stock at an average price of $21.81 in the second quarter of 2008.
For the first 6 months of 2008 EPS from continuing operations is up 10.8% vs 2007.
In a market s and an economy like we have currently, is there anything out there more solid that MO and PM (Phillip Morris) right now? Double digit EPS growth and a 4% yield to boot.
Full release:
Disclosure (“none” means no position):Long MO
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