Dykstra: Altria Options Are Smoking

The house the Marlboro Man built, Altria Group(MO Quote) (formerly known as Philip Morris), is the world's largest tobacco firm.

The stock has been hammered recently, and for those of you that have been following my investment strategy, you'll know why I am all over this pick today -- shares have been slapped out of reality.

Altria operates cigarettes through subsidiaries Phillip Morris and Phillip Morrris International, which sell Marlboro, the world's best-selling cigarette brand since 1972. The firm, which controls about half of the U.S. tobacco market, also makes and markets Parliament, Virginia Slims and Basic cigarette brands.

Beyond tobacco, Altria owns 29% of brewer SAB Miller. The tobacco giant's long-awaited spinoff of its Kraft Foods(KFT Quote) division to shareholders was finally completed in March.

In 2001, Altria appointed David Greenberg senior vice president and chief compliance officer. At the time, Greenberg said "We've been living with the consequences of losing the public's trust for some time now. And as we work to rebuild that trust, we've learned tough lessons about the crucial line that separates what's legal -- and society's sense of what's right." He has since developed an enterprise-wide "Compliance and Integrity" program led by senior officers and driven by employees worldwide.

With quality people like Greenberg on Altria's team, and the stock at fire sale prices, I am going to buy 10 January 60 calls (MOAL) DITM calls for $9.60, or better. Remember, I use limit orders only.

Now, as I do every Wednesday, it is time to face the music. I have been keeping track of every single pick since I began writing in February. The numbers are below.

Always Remember: Life is a journey, enjoy the ride.