According to Morgan Stanley, the shares of tobacco company Altria Group may see a fall as the burden of inflation falls on customers’ wallets. Morgan Stanley downgraded Altria to underweight on Wednesday. The firm lowered its price target from $54 to $50. The new launch is down 7.4% from Altria’s closing price on Tuesday. “We expect further pressure from rising gas prices and weak consumer sentiment, which could impact cigarette volumes and increase risk in the business,” Morgan Stanley’s Pamela Kaufman said in a note. With decades-long high inflation and national gas prices averaging closer to $5 per gallon, what consumers typically reach for a pack of Marlboros — one of Altria’s brands — can cut costs on cigarettes. “Smokers tend to gravitate toward lower-income consumers, who are heavily impacted by rising gas and food prices,” Kaufman said. According to Morgan Stanley, historically, there has been a strong inverse relationship between gas prices and cigarette sales volume. The firm noted that Altria could also be negatively affected by Philip Morris International’s pending acquisition of Swedish Match. Morgan Stanley values the pending acquisition as a 7% to 14% headwind of Altria’s market cap. —CNBC’s Michael Bloom contributed reporting.