Philip Morris shares rose about 4%, Altria gained 2.9% and Constellation Brands advanced more than 3% on Thursday. The S&P 500 consumer staples index was up 1.6%.
Philip Morris International was the biggest gainer in the S&P 500 consumer staples sector on Thursday, followed by Constellation Brands; Altria was also among the sector’s strongest stocks. Philip Morris shares were up about 4% at $200.89, on track for a fourth straight day of gains and their biggest one-day percentage gain since July 16. Altria shares rose 2.9% to $71.36.
Constellation Brands shares gained more than 3% to $122.35 in the second session after its quarterly report, even as multiple brokerages cut their price targets. JPMorgan raised its target to $136 from $133.
Gene Goldman, chief investment officer at Cetera, cited a rotation from growth stocks into defensive plays and said higher yields and widening credit spreads were weighing on AI and growth names. He also noted improving consumer staples valuations. The sector had fallen 1% over the past three months, while the S&P 500 gained 3.9%; consumer staples was the second-biggest gainer among the five S&P sectors in positive territory Thursday.
