PM - Philip Morris International Inc.
| Previous Close | 74.90 |
| Open | 74.31 |
| Bid | 73.05 x 1100 |
| Ask | 73.27 x 1000 |
| Day's Range | 73.00 - 74.78 |
| 52 Week Range | 64.67 - 92.74 |
| Volume | 9,003,272 |
| Avg. Volume | 6,456,281 |
| Market Cap | 113.654B |
| Beta (3Y Monthly) | 1.09 |
| PE Ratio (TTM) | 14.55 |
| EPS (TTM) | 5.02 |
| Earnings Date | Oct 17, 2019 |
| Forward Dividend & Yield | 4.68 (6.25%) |
| Ex-Dividend Date | 2019-06-20 |
| 1y Target Est | 95.12 |
- InvestorPlace
3 Reasons Altria’s Investment in Cronos Group Stock Is Positive for CRON
Cronos Group (NASDAQ:CRON) stock fell 5.2% on Sept. 9 as a result of investors' concerns about the cannabis company's focus on vaping products. Those offerings have come under severe scrutiny in recent weeks, due to the death of six people from lung disease related to their use. Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsCronos isn't the only cannabis company to have a vested interest in the success of vaping pens, but at the moment, it appears to be the biggest player taking it on the chin as a result of the recent health scare. If you own CRON stock, now is the time to be thankful that Altria (NYSE:MO) owns 45% of the cannabis company, with an option to buy an additional 10% in the future. Here are three reasons why that's the case. * 7 Discount Retail Stocks to Buy for a Recession Altria Understands Lungs Better Than MostWho would have more knowledge about how our lungs operate than a company whose products are directly responsible for harming them?Altria would not have made a $12.8 billion investment in Juul Labs or a $1.8 billion investment in CRON stock if it didn't understand the health risks associated with vaping. MO has been down this road many times with cigarettes. The fact that President Trump and his administration are trying to crack down on the sale of flavored e-cigarettes, while understandable, isn't really crucial for CRON stock. According to the Center for Disease Control and Prevention, 480,000 Americans die each year due to smoking. That's a staggering amount. However, we haven't seen cigarettes outlawed as a result of that sad situation. In fact, the FDA is currently trying to ban the sale of menthol cigarettes, but the tobacco companies will continue to fight the agency's legal efforts for years to come. Flavored e-cigarettes will likely take a long time to ban. The reality is that Altria understands what's at stake when it comes to vaping and e-cigarettes. They, along with the rest of the industry, are not going to go quietly into the night. Remember, the NRA isn't the only trade group in the U.S. with a powerful lobby. CRON Stock and a Potential MergerIn recent weeks, Altria's been negotiating with Philip Morris International (NYSE:PM), the owners of the Marlboro brand outside the U.S., to reunite after 11 years as separate companies. Last October, before Altria bought up a big chunk of CRON stock, I suggested that Philip Morris should make a play for one of Canada's big cannabis companies. "The tobacco companies were born to manufacture and sell the various by-products of the cannabis plant which includes marijuana and hemp," I wrote at the time. "The fact that only now are they considering a move -- after legalization in Canada -- suggests they've been irreparably scarred by years of tobacco litigation."Cowen & Co. analyst Vivien Azer recently suggested that the crackdown on vaping flavoring might be the nudge CRON and MO needed to officially tie the knot. After an acquisition, CRON would be controlled by a company with $54.7 billion pf annual revenue and $14.3 billion in free cash flow, providing it with plenty of capital to fight any potential opposition to cannabis vaping in the future. Altria Has a Beverage UnitCronos isn't the only cannabis company with a big focus on vaping. Aurora Cannabis (NYSE:ACB) is focusing on vape pens and edibles while ignoring cannabis beverages.I believe that's a mistake. Perhaps not a lethal one, but a mistake nonetheless. The older people get, the less they want to be messing with their lungs,. That's why I think cannabis-infused drinks will win in the end. Altria, although not nearly as involved in the alcoholic beverages industry as it once was, still owns premium wine producer Ste Michelle Wine Estates. In addition, as a result of Anheuser-Busch's (NYSE:BUD) $100-billion acquisition of SABMiller in 2016, Altria owns 10% of BUD stock.It's hard to imagine Budweiser turning down an opportunity to partner with Atria and Cronos to produce cannabis-infused drinks on a global basis. As long as Altria continues to own a big chunk of Cronos Group stock, I don't think investors need to overreact to the latest health concerns surrounding vaping. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Big IPO Stocks From 2019 to Watch * 7 Discount Retail Stocks to Buy for a Recession * 7 Stocks to Buy Benefiting From Millennial Money The post 3 Reasons Altriaas Investment in Cronos Group Stock Is Positive for CRON appeared first on InvestorPlace.
- Barrons.com
Altria and Philip Morris Want to Merge. Blame Regulators.
The cigarette manufacturers used to be one company. They said in August they are discussing getting back together.
- Barrons.com
Trump May Have Lit a Fire Under the Altria-Philip Morris Merger, Says Analyst
Altria Group stock has had a tough year, and the recent announcement from the White House about plans to potentially ban all e-cigarette flavorings might be a good reason to speed up talks with Philip Morris International, opines Cowen & Co.
- Zacks
Philip Morris (PM) Hikes Dividend to Boost Shareholders Value
Philip Morris (PM) is consistently boosting shareholders' value via dividend payouts. The company announces dividend hike of 2.6%.
- Zacks
Trump May Ban Flavored E-Cigarettes: Who Wins, Who Loses
Vaping is a growing trend among youngsters, but Trump's recent threat to ban flavored e-cigarettes raises questions. Will traditional cigarette get back its lost glory?
- Barrons.com
Philip Morris Just Boosted Its Quarterly Dividend
Philip Morris International has steadily increased its dividend in small increments, and it did so again on Wednesday.
- Investing.com
NewsBreak: Trump Says He's Looking Into Banning Non-Tobacco Vaping Products
Investing.com – President Donald Trump said Wednesday he was looking into banning all non-tobacco flavored vaping products from the market. He made the comment to reporters at the White House.
- TheStreet.com
Cigarette Makers Feel the Heat as Trump Considers Vaping Restrictions
The president announces he is holding a policy discussion on vaping after a mysterious lung disease killed at least six people.
- MarketWatch
Philip Morris raises dividend; yield is more than triple the S&P 500
Philip Morris International Inc. said Wednesday it has raised its quarterly dividend to $1.17 a share, up 2.6% from the previous dividend of $1.14 a share. The tobacco company's new dividend will be payable Oct. 11 to shareholders of record on Sept. 25. Based on Tuesday's stock closing price of $74.50, the new annual dividend rate of $4.68 a share implies a dividend yield of 6.28%, which compares with the yield for the SPDR Consumer Discretionary Select Sector ETF of 1.23% and the implied yield for the S&P 500 of 1.97%, according to FactSet. Philip Morris's stock, which is still inactive in premarket trading, has slipped 3.8% over the past 12 months, while the consumer discretionary ETF has gained 5.1% and the S&P 500 has tacked on 3.2%.
- TheStreet.com
Philip Morris Lights Up Quarterly Dividend
Philip Morris International said Wednesday that the board increased the tobacco company's dividend 2.6% to an annualized $4.68 a share. In August, the New York company confirmed that it was in merger discussions with Altria Group regarding a potential all-stock deal as traditional tobacco smoking across the globe declines. A merger would reunite Philip Morris International and Altria more than a decade after the two companies split.
- Business Wire
Philip Morris International Inc. Increases Dividend by 2.6% to an Annualized Rate of $4.68 Per Share
Regulatory News:
- Investing.com
Stocks - Apple, Facebook, Ford Fall in Premarket Trade
Investing.com - Stocks in focus in premarket trading on Tuesday:
- InvestorPlace
3 Top Tobacco Stocks Still Burning Strong
[Editor's note: "3 Top Tobacco Stocks Still Burning Strong" was previously published in July 2019. It has since been updated to include the most relevant information available.] In many respects, the top tobacco stocks defy logic. The Surgeon General's Office released its warning about the dangers of tobacco in 1964. Despite a sustained anti-smoking crusade, tobacco stocks continued marching higher. As the climate at home became more hostile, these firms have found new customers overseas.They also found other sources of revenue. The latest new source for tobacco stocks? The cannabis industry. Long illegal throughout the world, marijuana continues to gain both acceptance and legal status. Moreover, anyone who pays even scant attention to business news knows marijuana stocks continue to rise. This industry could easily become a new profit center for tobacco companies. Furthermore, tobacco companies know how to navigate the hostile regulatory climate cannabis will face, particularly in the United States.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Industrial Stocks to Buy for a Strong U.S. Economy Whatever direction the tobacco industry takes, I would not bet on its decline despite the negative public image of cigarettes. With new product lines and creative marketing, I think the following top tobacco stocks should continue to perform well.Source: Peyri Herrera via Flickr (Modified)[/ipm_caption] Altria Group, Inc. (MO)Perhaps no large company defines the top tobacco stocks more than Altria (NYSE:MO). Altria manages to keep profits moving higher, despite its core product's falling popularity. The parent company for brands like Marlboro (in the U.S.) and Parliaments has also emphasized so-called "reduced risk products" such as smokeless tobacco. Moreover, it could profit further if the FDA approves IQOS, a smoke-free cigarette popular in other countries. And, like its counterparts in the beverage industry, Altria has also explored investing in cannabis.All of this will serve to benefit those who want the generous levels of dividend income that MO produces. This track record of payouts goes back decades. Investors who bought in the fall of 1985 and held now make their original investment back every year in dividends alone. For those who reinvest dividends, investors who bought in the spring of 2003 now have achieved the same feat.The company will occasionally pay an outsized payout followed by a dividend reduction. Still, the dividend has risen annually for the last 10 years. Investors buying today will still enjoy a yield of 7.66%.Continuing to pay this dividend should not be an issue in the future either. Analysts, on average, predict its profits will increase by 5% this year. They also project an average of 6.8% annual growth over the next five years. Current earnings also place the forward price-to-earnings (P/E) ratio at 9.8.That allows investors to buy into this generous dividend stream at a discount. Given MO's ability to mitigate the negative sentiment surrounding tobacco, and its potential in the cannabis industry, I think these benefits will accrue for years to come.Source: Shutterstock [/ipm_caption] Philip Morris International, Inc. (PM)Philip Morris International (NYSE:PM) spun off from Altria in 2008. As the name implies, it operates primarily outside of the U.S., despite the Manhattan address of its headquarters. Among top tobacco stocks, it remains best known for retaining the right to market Marlboro cigarettes outside of the U.S. (Altria holds the U.S. rights).While it remains a similar company to Altria in many respects, its non-U.S. focus gives it the advantage of not having to deal directly with federal regulation. As a result, it has led the way in IQOS in other countries. Its non-U.S. focus also gives this company an advantage over Altria if it wants to make deals with cannabis companies.Due to its offshore focus, Phillip Morris International now exceeds the size of its original parent company. It holds a market cap of about $1114 billion, larger than Altria's market cap of about $92 billion. The forward P/E of 13 comes in somewhat higher than Altria. However, it usually trades at a slight premium to its former parent.On the dividend front, it lags the long-term history of Altria, but little else. The payout has risen every year since the company's 2008 spinoff. The recent increase takes the annual dividend to $4.56 per share, a yield of 6.34%. * 7 Industrial Stocks to Buy for a Strong U.S. Economy Despite the accolades, the PM stock price has fallen steadily since achieving a high of $122.90 per share in June 2017. It now trades almost 40% below this level. However, with its generous dividend, I think it presents a buying opportunity. If Phillip Morris International enters the marijuana business, investors can profit from both a high payout and hopefully, a rising stock price.Source: Shutterstock [/ipm_caption] Universal Corp. (UVV)Universal Corporation (NYSE:UVV) operates in a different segment than other top tobacco stocks. The company processes tobacco. It buys the plant directly from producers, refines it, and then sells it to product manufacturers.Given the overall decline of tobacco use throughout the world, I would typically take a cautious view on such a company. However, the company processes other products besides tobacco.Potentially, Universal could revive its fortunes by making a modest pivot into cannabis. Since it already processes other products, shifting into weed should not create any major operational shifts. Moreover, it also controls a supply chain useful for both procuring and distributing its product. This supply chain extends to over 30 countries on five different continents.Although the company has yet to announce such a move, investors may already have noticed this potential. UVV stock shot higher in the middle of last year as its operating income rose despite its falling sales. The stock subsequently lost most of its mid-2018 gains.The company remains small, as UVV's market cap is around $1.27 billion.Its current P/E is about 14, while its dividend stands at $3 per share. This amounts to a yield of 6%. It has raised its dividend for 46 consecutive years.As a smaller company that processes tobacco, Universal might seem like a strange pick at first glance. However, its varied product base, small size and large dividend make UVV stock an intriguing play among top tobacco stocks.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 3 Artificial Intelligence Stocks to Buy * 7 Industrial Stocks to Buy for a Strong U.S. Economy * 3 Beaten-Down Bank Stocks to Buy and Hold for the Long Term The post 3 Top Tobacco Stocks Still Burning Strong appeared first on InvestorPlace.
- Quartz
How big tobacco and tech are reinventing smoking for the 21st century
Let cigarettes die their smelly and unsightly death, say Big Tobacco’s most powerful executives. Vaping is the industry’s Great White Hope.
- Quartz
Philip Morris International thanks you for not smoking…cigarettes
PMI chief operating officer Jacek Olczak isn’t worried about the future of tobacco—he’s helping reinvent it.
- Quartz
A brief history of e-cigarettes
Tobacco and tech companies have tried to bring consumers alternatives to cigarettes for decades—they’re finally succeeding.
- Zacks
Philip Morris (PM) Outpaces Stock Market Gains: What You Should Know
Philip Morris (PM) closed at $72.97 in the latest trading session, marking a +1.42% move from the prior day.
- Barrons.com
Altria Wants to Merge With Philip Morris. Why Stockholders Don’t Like it.
Shareholders so far aren’t thrilled. Altria (ticker: MO) is down 5.4% over the past month, while Philip Morris (PM) has fallen 5.4%. In a report on Wednesday, Citigroup analyst Adam Spielman raised doubts that a deal would actually move ahead.
- Reuters
BAT launches more vaping products in Japan to take on Philip Morris
The new products, glo pro and glo nano, come with new heating technologies and slimmer sizes and will be available in Japan from October, the company said, a month after it launched another product - glo sens - in Tokyo. The glo brand was introduced in Japan in 2016. Philip Morris leads the heat-not-burn (HNB) market with its iQOS product in Japan, which has emerged as a fertile test ground for vaping products since e-cigarettes using nicotine-laced liquid are not allowed under the country's pharmaceutical regulation.
- Yahoo Finance Video
Trump admin. considers ban on flavored e-cigarettes
The White House announced that due to number of deaths believed to be linked to vaping, they’re considering a ban on flavored e-cigarettes. Yahoo Finance’s Zack Guzman, Jessica Smith and Sibile Marcellus discuss with BigEyedWish Founder Ian Wishingrad.
- Bloomberg
CDC Links THC Vaping Products to Lung Illness
Sep.06 -- Sudden, serious lung illnesses that have struck people who used vaping devices have been tied in many cases to products that contain THC, the main active ingredient in marijuana, the U.S. Centers for Disease Control and Prevention said. Bloomberg's Craig Giammona has more on "Bloomberg Technology."
