Potential vaping regulations have limited impact on our valuations.
We think a PMI-Altria merger makes a lot of strategic sense.
We still see some upside in the stock for patient investors.
We are reiterating our fair value estimate and our wide economic moat rating for the firm.
The road to prohibition will be rocky, but the market assumes a worst-case scenario.
Deleveraging must be a priority, and with heightened menthol risk likely to linger for at least two years, we expect dividend growth to slow.
The wide-moat tobacco giant may take a stake in the U.S. vaping startup, but we have reservations about the timing of the deal and potential valuation.
Market reaction to AB InBev’s dividend cut makes the shares even more attractive.