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Recent Articles
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Altria Narrows Outlook While It Expands Its Buyback Program
Nov 10, 2025
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Image Source: TradingView.
In the third quarter, Altria repurchased 1.9 million shares for a total cost of $112 million. Through the first nine months of the year, Altria bought back 12.3 million shares for a total cost of $712 million. The board also expanded its existing share repurchase program to $2 billion from $1 billion with expiration date of December 31, 2026. For the third quarter and first nine months of 2025, Altria paid $1.7 billion and $5.2 billion in dividends, respectively. The company’s latest dividend increase in August of 3.9% was the 60th increase in the past 56 years. Altria’s current annualized dividend rate is $4.24 per share, with a forward estimated yield of 7.3%. Though the decline in total cigarette volumes is a headwind, we continue to like shares in the High Yield Dividend Newsletter portfolio.
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McDonald’s Sees Weakness from Lower-Income Consumers
Nov 10, 2025
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Image Source: Valuentum.
In the quarter, McDonald’s consolidated operating income increased 5% (3% in constant currencies). Excluding certain one-time items, adjusted consolidated operating income increased 3% (1% in constant currencies). Diluted earnings per share for the quarter was $3.18, up 2% (flat in constant currencies). Excluding one-time items, however, adjusted diluted earnings per share was flat at $3.22 (a decrease of 1% in constant currencies). McDonald’s is benefiting from higher income consumers trading down, while it faces weakness from the lower-income cohort. Shares look fairly valued on the basis of our discounted cash-flow process.
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Amazon’s Cloud Business Continues to Propel Results
Nov 6, 2025
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Image Source: TradingView.
For the twelve months ended September 30, Amazon’s operating cash flow increased 16%, to $130.7 billion, better than the $112.7 billion it registered for the trailing twelve months last year. Free cash flow came in at $14.8 billion for the trailing twelve months, down from $47.7 billion for the trailing twelve months last year, driven by a $50.9 billion increase in purchases of property and equipment. Looking to the fourth quarter of 2025, net sales are expected to be between $206-$213 billion, or to grow 10%-13%. The guidance includes a favorable impact of about 190 basis points from foreign exchange rates. Operating income is expected to be between $21-$26 billion, compared with $21.2 billion in the fourth quarter of 2024. We thought Amazon’s third quarter and outlook were impressive, and we continue to like shares in the Best Ideas Newsletter portfolio.
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Apple Looks to Strong December Quarter
Nov 3, 2025
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Image Source: TradingView.
For the 12 months ended September 27, Apple generated $111.5 billion in cash from operations, while it spent $12.7 billion in property, plant, and equipment, resulting in free cash flow of $98.8 billion. Looking to the December quarter, total company revenue is expected to grow 10%-12% year-over-year, resulting in its best quarter ever. Apple expects iPhone revenue to grow double-digits year-over-year, which would be its best iPhone quarter ever. Services revenue is targeted to grow at a similar year-over-year pace to what it reported in 2025. Gross margin is expected between 47%-48%, which includes an estimated impact of $1.4 billion of tariff-related costs. We continue to like Apple as an idea in the newsletter portfolios.
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