Cheap — but check the trap first.

It looks undervalued, but something is deteriorating. Cheap for a reason, or a real bargain?

Current price
$68.88
Market cap ≈ $116B
Intrinsic value
$90
range $64 – $130
Margin of safety
+31%
below fair value
4 FY16 5 FY17 8 FY18 8 FY19 8 FY20 8 FY21 8 FY22 9 FY23 9 FY24 9 FY25

What the math is really telling you. Watch whether cash flow is compounding — that, more than any single year, is what a value read hangs on.

  • Good:
    Undervalued
    Fair value ~$90 vs $69 — a margin of safety of 31%.
  • Good:
    Price is in line with its record
    Priced for ~2%/yr, roughly what it has delivered (4.1%/yr).
  • Warning:
    Revenue shrinking
    Down 3.1% last year — cheap may mean broken.
  • Good:
    Cash flow compounding
    Free cash flow up ~4.1%/yr — the engine is growing.
  • Caution:
    Manageable net debt
    Net debt of $21B — about 2.3× annual free cash flow. Normal for a mature company.

Where this number comes from →

How this was built. Every figure is computed from Altria Group, Inc.'s SEC filings — no estimates, no AI. Two-stage DCF: 9% discount rate, 5% free-cash-flow growth for 10 years, 2.5% terminal. Free cash flow is operating cash flow less capital spending. Net cash is cash and marketable securities less borrowings, commercial paper and finance leases; operating leases are disclosed but never counted as debt. We subtract net debt from the value of the business — for Altria that is about $21B, or $13 per share. Fundamentals are from the FY25 annual report and change only when a new one is filed. Price of $68.88 taken 2026-09-04 (Google Finance, manual entry, 2026-08-28) — it is not live and does not move during the day.

TickerMath is an educational tool, not investment advice — it computes one model from SEC filings and can be wrong. How we compute this →