Cigarette, alcohol stocks lead consumer staples gains

Altria

08/10/2026 17:59

** Philip Morris International PM.N was the biggest gainer in the S&P 500 consumer staples sector .SPLRCS on Thursday, followed by alcoholic beverage company Constellation Brands STZ.N and Altria Group MO.N also among the strongest stocks
** Shares in PM, a provider of cigarettes and smoke-free nicotine products, were up ~4% at $200.89 and on track for their fourth straight day of gains and biggest one-day percentage gain since July 16. Shares in Altria, the maker of Marlboro cigarettes, were up 2.9% at $71.36
** Earlier, UK peer Imperial Brands IMB.L said it was on track to meet its full-year guidance and launched a new £1.5 billion ($1.98 billion) share buyback, as resilient growth in smoking alternatives helped offset declines in cigarette sales
** Shares in STZ, which produces beer, wine and spirits, were up more than 3% at $122.35 in the second session following its quarterly report even as multiple brokerages cut their price targets for the stock. JPMorgan went against the grain with a PT increase to $136 from $133
** Gene Goldman, chief investment officer at Cetera, pointed to a "rotation out of growth stocks into defensive plays" on Thursday while he noted that "higher yields and widening credit spreads are weighing on AI and growth names"
** The CIO also noted improving valuations in the sector, which has underperformed the broader S&P 500 in the past three months with a 1% drop vs the benchmark's 3.9% gain 
** Among the five S&P sectors not showing red on Thursday, the consumer staples index was the second-biggest gainer, up 1.6%

 (Reporting by Sinead Carew)
 ((sinead.carew@thomsonreuters.com))