Play This Sin Stock for a Potential 60% Return

Altria Group (NYSE: MO), the parent company of leading cigarette manufacturer Philip Morris USA, is a defensive stock play. Despite sin taxes and a more negative attitude toward smoking in the United States, the company has strong brand power and could capitalize on growing emerging markets. And with a 5.3% yield, many investors buy the stock for the dividend alone.
As the chart below shows, the $30 level proved to be a breakout area for the stock's climb higher. It is also the halfway support of the 2011 lows to the 2012 highs.

MO is down almost 8% on profit-taking since the August highs at $36 per share. With many stocks currently near their highs in a strong uptrending market, laggards are attractive, especially those that would be good long-term holdings in any market environment.
The initial upside objective is above the $36 highs based on the technical wedge pattern. Only a weekly close below the $30 level would negate the bullish trend.  (more)