Is This The Safest Stock During A War?

"The stock market hates inflation. There are not many stocks that are little affected today, if any. However, safe-haven stocks may even rise due to demand. At the top of this list is Altria (NYSE: MO), the cigarette and tobacco king. People who smoke do not stop smoking, even during periods of conflict."

"Altria hits with power from both sides of the plate. The stock is up 24% in the last year. The S&P is 16% higher. Its forward dividend and yield is 6.14%. That's almost as good as a junk bond. But Altria has a rock-solid balance sheet."

"Altria Group has raised its dividend for 56 to 60 consecutive years as of late 2025, solidifying its status as a 'Dividend King'. Altria owns Marlboro, the world's most famous cigarette brand. Ninety percent of its cigarette sales come from Marlboro."

Geopolitical conflicts like wars typically trigger market declines, with severity depending on duration, intensity, and geographic spread. Wars often cause inflation concerns, particularly through oil supply disruptions, which negatively impact stock markets. During such periods, safe-haven stocks tend to outperform. Altria demonstrates defensive characteristics as a tobacco company, since smoking habits remain consistent during conflict periods. The company has outperformed the S&P 500 with 24% annual returns versus 16%, offers a 6.14% dividend yield comparable to junk bonds, and maintains a strong balance sheet. Altria qualifies as a Dividend King with 56-60 consecutive years of dividend increases. The company dominates through Marlboro cigarettes representing 90% of sales, while expanding into smokeless tobacco products like Copenhagen and Skoal brands.

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