Altria (MO) has an 8% dividend. That is primarily why we own it. We don’t care for the stock or story, as this is just a cash flow machine for us. All stocks are. We try to keep emotion out, not get attached, and focus on the reliability of the dividend instead.

However, we will say that the transition away from traditional tobacco to vaping has to be seen as a positive (assuming vaping is safe). Again, we are not an expert on these matters. We only care about the dividend and it’s sustainability, along w these three reasons below:

1.) Fulfills exposure to a consumer staple sector that is needed for complete portfolio diversification.

2.) It has pulled back on the chart, and has reached a more attractive risk/reward entry point.

3.) Its dividend has shown a strong history of increases and sustainability.

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