Longtime investors in Altria Group (NYSE:MO) have reaped the benefits of huge dividends and impressive capital appreciation for decades. Yet even though the company has survived waves of litigation and regulatory restrictions, Altria still faces the specter of fewer smokers buying its products going forward. With the stock having scored big gains lately, does it makes sense to add Altria to your portfolio?

In the following video, Motley Fool consumer goods analyst Sean O'Reilly talks with senior contributor Dan Caplinger about whether Altria is a buy right now. Dan first points out that dividend investors have gravitated to the stock's nearly 5% yield, helping to send share prices higher. Although traditionally cigarette volumes have been on the decline, Dan notes that Altria is seeking to capture its share of the growing e-cigarette and vapor business, aggressively promoting its MarkTen brand against Lorillard's (NYSE:LO) blu and Reynolds American's (NYSE:RAI) Vuse. With the Lorillard-Reynolds merger involving the divestiture of blu, MarkTen could get a big leg up. Finally, Sean and Dan discuss the value of Altria's stake in beer giant SABMiller, which gives the company some added diversification for those concerned about tobacco's future.

Dan Caplinger has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.