Top 20 Most Valuable Tobacco Companies in the World

On July 30, 2025, Altria Group, Inc. reported its financial results for the second quarter of 2025. The company posted adjusted earnings per share of $1.44, surpassing the analyst estimate of $1.38 and rising 8.3% year over year. On May 14th, 2025, Imperial Brands reported results for the first half of fiscal year 2025. Revenue for tobacco and next generation products were up 3.2% as pricing and mix added 5.9% to results, offset by a 3.2% decline in volume. Indeed, health organizations like the American Lung Association actively encourage localities to raise taxes on cigarettes and other tobacco products to discourage usage. Tobacco stocks are widely prized by income investors thanks to their high dividend yields, stable payouts and dividend increase streaks.

Price and Consensus: MO

However, the ranking reflects dividend yields alone and does not take into account how the share prices of healthcare companies have changed over time. For example, Organon shares have fallen by more than 70% over five years, and Nykode Therapeutics shares have dropped by more than 92%. Below is a list of alternative companies that not only pay high dividends but also have great growth potential. The healthcare sector can be highly volatile and sometimes unpredictable. Although top global pharmaceutical stocks may offer short-term gains, they can be unprofitable in the long term. Instead of focusing on market cap or scale, look at 1-year and 5-year returns.

The key behind an investment in tobacco stocks is the inelastic demand for cigarettes relative to their price due to the addictive nature of these products. These negative trends have kept many investors away from tobacco stocks. However, tobacco stocks can still generate solid total returns given that they tend to offer high dividend yields. To make matters worse for tobacco companies, most of the world’s smoking population rate looks much the same as the above chart.

The best tobacco company stocks to invest in dividends in 2025

We see PM, UVV, and BTI currently offering the highest expected total returns. Universal Corporation reported its third quarter earnings results in February. The company generated revenues of $937 million during the quarter, which was more than the revenues that Universal Corporation generated during the previous period. On an adjusted organic basis, revenues were up by 1.3%, but the company was negatively impacted by currency exchange rate movements.

Overview: Best Tobacco Stocks

Cigarettes dominate the tobacco consumption landscape, constituting over 90% of usage in the country and serving as the primary product within India’s tobacco market. Pharmaceutical stocks are typically better suited for short-term strategies. Fundamental factors can lift prices by more than 100% within weeks, yet those gains can just as quickly reverse, often with limited prospects for a full recovery. For instance, British-Swedish giant AstraZeneca has reported significant fluctuations in quarterly earnings over the past three years, even posting losses in some quarters in 2021. Altria’s free cash flow is more than enough to sustain its dividend, so it’s not an issue investors should worry about. If it can sustain that, it will be more than the $4.24 per share it will pay out in dividends in the next four quarters.

Industry Overview: Declining Smoking Rates

Despite the industry’s weak revenue and profit development, investors continue to be drawn to these stocks due to their consistent dividends, profitability, and solid profit margins. Investors believe that stronger growth will eventually be catalyzed by next-generation products. Tobacco stocks in India might offer investors with a resilience to economic slowdowns. They also come with higher dividend payouts and help people meet their daily expenses. Apart from high dividend yield, investors can generate impressive returns from these stocks. Conduct research on the best tobacco stocks to make your portfolio diversified.

However, its sales volume of heated tobacco units (HTUs) rose 11.9% in that same quarter, indicating that devices such as the IQOS have strong growth potential. Founded in 1913, Sampoerna is Indonesia’s leading tobacco company controlling about 35% share of the country’s tobacco market. The Surabaya-based company owns seven kretek manufacturing facilities in Indonesia and also distributes the famous Marlboro tobacco brand in the domestic market.

As a result, the best tobacco stocks in India are likely to deliver higher returns in the coming decades. Golden Tobacco is also a key player in specialized printing, boasting an in-house facility with advanced equipment for cigarette packaging. It is the largest exporter of machine-made cigars, selling brands like Chancellor, Panama, and Style to markets across the USA, Europe, Russia, and the Middle East. Domestically, the company’s products fall under well-known brand families such as Panama, Chancellor, and Golden’s.

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This constraint hinders businesses’ access to younger or unexplored markets by limiting their capacity to introduce new products or produce distinctive brand identities. Businesses mostly rely on price and distribution tactics when advertising is not available, which can’t always ensure market growth. Inserting new flavours could help tobacco companies increase their sales figure.

• Verona Pharma is a biopharmaceutical company focused on inhaled therapies for chronic respiratory diseases.
• This brand has a huge presence in the domestic and international markets.
• You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer.
• Putting your money into tobacco companies comes with its fair share of risks.
• British American Tobacco reported its fourth-quarter and full-year earnings results on February 13.

Top Tobacco Stocks in India in 2025 as per Market Capitalisation

• Cigarettes have a high functional income since their product costs are comparatively low when compared to their retail pricing.
• The tobacco business contributes 90% of group sales and nearly all profits, with more than half generated by JTI, the overseas tobacco arm.
• High gratuity payout rates are a hallmark of the majority of tobacco stocks.
• However, the company has faced legal challenges, including a case by minority shareholders regarding an 8-acre land parcel in Vile Parle, which was dismissed by NCLT but remains in mediation.

VST Industries is the third-largest player in the Indian cigarette market with an 8% market share, primarily operating in West Best tobacco stocks Bengal, Andhra Pradesh, Telangana, Bihar, and UP. It manufactures brands like Charminar, Charms, Special, Moments, and Total, and recently entered the 84-mm segment with Editions. The company also sells unmanufactured tobacco, contributing 31% to revenue. Before launching a drug into mass production, large pharmaceutical companies undergo dozens of tests to obtain patents and regulatory approvals.

Tobacco was introduced to France in 1556, Portugal in 1558, Spain in 1559, and finally England in 1565. By the early 17th century, smoking was common in all of Europe’s maritime nations, and their colonial empires soon carried tobacco all over the world. Tobacco stocks as a group can be represented by the AdvisorShares Vice ETF (VICE), an exchange-traded fund, although VICE also holds a variety of other sin stocks besides tobacco companies. VICE has returned about 1% in the last year, while the Russell 1000 Index has increased by 3%. Founded in 1974, Sinnar Bidi Udyog Ltd specializes in tobacco processing and trading, with its corporate headquarters in Nashik. Previously engaged in manufacturing and exporting bidis, the company has since shifted focus due to stringent regulations in the tobacco industry.

Nevertheless, Verona’s shares continue to trade on the stock exchanges. Despite the price performance, Altria still has one of the highest dividend yields around at nearly 6.4%. But Altria has increased its dividend annually for 56 consecutive years, making it a Dividend King (a company with at least 50 consecutive years of dividend increases).