PM - Philip Morris International Inc.
| Previous Close | 85.51 |
| Open | 85.74 |
| Bid | 86.65 x 900 |
| Ask | 87.08 x 800 |
| Day's Range | 84.88 - 87.20 |
| 52 Week Range | 64.67 - 92.74 |
| Volume | 3,821,866 |
| Avg. Volume | 4,814,701 |
| Market Cap | 135.059B |
| Beta (3Y Monthly) | 0.94 |
| PE Ratio (TTM) | 17.56 |
| EPS (TTM) | 4.95 |
| Earnings Date | Jul 18, 2019 |
| Forward Dividend & Yield | 4.56 (5.27%) |
| Ex-Dividend Date | 2019-03-25 |
| 1y Target Est | 92.59 |
- Zacks•22 hours ago
Why Is Philip Morris (PM) Up 2.8% Since Last Earnings Report?
Philip Morris (PM) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
- Market Realist•2 days ago
How Does Philip Morris’s Valuation Multiple Compare with Peers?
Why Bank of America Upgraded Philip Morris(Continued from Prior Part)Stock performanceToday, Philip Morris International (PM) was trading ~0.8% higher at 11:05 AM EST. Bank of America’s upgrade appears to have led PM’s stock price to rise.
- Market Realist•2 days ago
Why Bank of America Upgraded Philip Morris
Why Bank of America Upgraded Philip MorrisThe upgradeToday, Bank of America upgraded Philip Morris International (PM) from “underperform” to “neutral” and also raised its price target from $81 to $94. As reported by CNBC, Bank of America is
- Barrons.com•2 days ago
Philip Morris Stock Has Rallied, and a Bearish Analyst Gives Up
Bank of America Merrill Lynch analyst Lisa Lewandowski upgraded the tobacco giant to Neutral from Underperform. There are a few reasons she’s not a bull yet.
- Business Wire•4 days ago
‘Can a Tobacco Company Be Sustainable?’ Philip Morris International Says ‘Absolutely,’ and Outlines Clear Progress Toward a Sustainable, Smoke-Free Future
Philip Morris International Inc. (PMI) (PM) today published its fourth Sustainability Report, detailing its progress in key areas across its value chain. PMI’s mission to unsmoke the world is core to its sustainability ambition and business strategy. André Calantzopoulos, PMI’s Chief Executive Officer, said: “We’re often asked, ‘Can a tobacco company be sustainable?’ Our answer to that is, ‘Absolutely.’ That is, provided we are taking every step possible to completely replace cigarettes with better alternatives for the adult smokers who would otherwise continue smoking, addressing challenges across our value chain and seizing opportunities to add value to society.
- Insider Monkey•4 days ago
Philip Morris International Inc. (PM): Fundsmith’s Latest Thoughts
Insider Monkey recently shared Fundsmith's 2018 Annual Letter, a copy of which you can track down here. Aside from reporting its 2018 annual return for its Fundsmith Equity Fund, which was 2.2%, the fund also shared its opinion on several stocks in its equity portfolio. Among them was Philip Morris International Inc. (NYSE:PM), for which […]
- Barrons.com•5 days ago
Philip Morris Stock Has Soared in 2019. This Analyst Sees More Gains.
Philip Morris International stock is higher on Tuesday, helped in part by a bullish note from Stifel.
- MarketWatch•5 days ago
Here are the stocks to buy if an all-out U.S.-China trade war erupts, says Goldman
As uncertainty over the outcome of Sino-American trade talks grows, so does the possibility of a longer-than-expected negotiations or an all-out trade war, strategists at Goldman Sachs are providing some timely trading strategies.
- Business Wire•5 days ago
Philip Morris International Inc. Presents at Goldman Sachs Global Staples Forum
Philip Morris International Inc.’s (PM) Chief Financial Officer, Martin King, will address investors today at the Goldman Sachs Global Staples Forum in New York. The audio webcast may also be accessed on iOS or Android devices by downloading PMI’s free Investor Relations Mobile Application at www.pmi.com/irapp. Philip Morris International (PMI) is leading a transformation in the tobacco industry to create a smoke-free future and ultimately replace cigarettes with smoke-free products to the benefit of adults who would otherwise continue to smoke, society, the company and its shareholders.
- Market Exclusive•6 days ago
Market Morning: Kudlow Cracks, Brexiters Rage, Gilead Butters Up FDA, Philip Morris Backtracks
Buy Services, Sell Goods, Says Goldman Sachs If Tariff War Explodes The people at Goldman Sachs (NYSE:GS) may know a bit about trading, or maybe not, but either way, they’re saying to sell goods stocks and buy services stocks if the Chinese retaliate to the Trump Administration’s latest move to jack up tariffs on $200 […]The post Market Morning: Kudlow Cracks, Brexiters Rage, Gilead Butters Up FDA, Philip Morris Backtracks appeared first on Market Exclusive.
- Reuters•8 days ago
Exclusive: Philip Morris suspends social media campaign after Reuters exposes young 'influencers'
The company told Reuters of the decision late Friday, saying it had launched an internal investigation into marketing posts and photographs that Reuters sent to the company for comment earlier this week. "We have taken the decision to suspend all of our product-related digital influencer actions globally," the company told Reuters.
- GuruFocus.com•10 days ago
Philip Morris International: Smoking Hot Dividend Stock With a 5% Yield
Dividend growth investors are often drawn to securities with generous yields. Sometimes, though, high yields can be a warning sign of the underlying business struggling. One of the best high-dividend stocks is Philip Morris International Inc. (PM).
- Bloomberg•11 days ago
A Boon to $85 Billion Muni Tobacco-Bond Market Seen From FDA
Securities backed by the payments states receive from the 1998 legal settlement with tobacco companies tumbled at the end of April after legislation was introduced in Congress to raise the age for buying cigarettes, a step that threatened to accelerate the steeper-than-anticipated drop in consumption that’s weighed on the prices of the bonds. The U.S. Food and Drug Administration’s April 30 approval of a tobacco-heating device could win back consumers that have switched to e-cigarettes, like Juul, and help stanch the decline in annual settlement payouts that finance the securities, according to Citigroup Inc. analysts led by Vikram Rai. The Philip Morris International device heats a stick of tobacco in a way that produces a traditional cigarette taste without as many toxins.
- Business Wire•12 days ago
CORRECTING and REPLACING US FDA Action Enables Millions of American Smokers to Give Up Cigarettes
Second paragraph, second sentence of release should read: PMI will bring IQOS to the U.S. in cooperation with Altria Group, Inc., and its subsidiary Philip Morris USA (instead of PMI will bring IQOS to the U.S. in cooperation with Altria Companies, Inc., and its subsidiary Philip Morris USA).
- Business Wire•12 days ago
Philip Morris International Inc. to Host Webcast of Presentation at Goldman Sachs Global Staples Forum
Philip Morris International Inc. (PM) will host a live audio webcast of a presentation and answer-and-question session by Martin King, Chief Financial Officer, at the Goldman Sachs Global Staples Forum at www.pmi.com/2019goldmansachs on Tuesday, May 14, 2019, at approximately 8:15 a.m. ET. The audio webcast may also be accessed on iOS or Android devices by downloading PMI’s free Investor Relations Mobile Application at www.pmi.com/irapp. Philip Morris International (PMI) is leading a transformation in the tobacco industry to create a smoke-free future and ultimately replace cigarettes with smoke-free products to the benefit of adults who would otherwise continue to smoke, society, the company and its shareholders.
- Markit•12 days ago
See what the IHS Markit Score report has to say about Philip Morris International Inc.
Philip Morris International Inc NYSE:PMView full report here! Summary * Perception of the company's creditworthiness is positive * ETFs holding this stock are seeing positive inflows but are weakening * Bearish sentiment is low Bearish sentimentShort interest | PositiveShort interest is extremely low for PM with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting PM. Money flowETF/Index ownership | NegativeETF activity is negative and may be weakening. The net inflows of $2.68 billion over the last one-month into ETFs that hold PM are among the lowest of the last year and appear to be slowing. Economic sentimentPMI by IHS Markit | NeutralAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Consumer Goods sector is rising. The rate of growth is weak relative to the trend shown over the past year, however. Credit worthinessCredit default swap | PositiveThe current level displays a positive indicator. PM credit default swap spreads are near the lowest level of the last three years and indicate the market's continued positive perception of the company's credit worthiness.Please send all inquiries related to the report to score@ihsmarkit.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
- Investopedia•12 days ago
Pros and Cons of a Strong Dollar
While a strong U.S. dollar benefits some, it negatively impacts others. These are the advantages and disadvantages of a strong U.S. dollar, and who gains and loses.
- GuruFocus.com•14 days ago
Top Insider Buys Highlight for the Week of May 3
The largest insider buys this week were Philip Morris International Inc. (PM), Biogen Inc. (BIIB), Cerner Corp. (CERN) and Archer Daniels Midland Co. (ADM). The share price has increased by 1.22% since then. Warning! GuruFocus has detected 6 Warning Sign with PM. Click here to check it out.
- Barrons.com•16 days ago
Tobacco Stocks Philip Morris and Altria Have More Upside, Analyst Says
Wells Fargo anlayst Bonnie Herzog notes that leadership changes at the federal agency could mean more gains for Philip Morris and Altria.
- InvestorPlace•16 days ago
Cronos or Altria: Which is the Better Buy?
It's been almost two months since Altria (NYSE:MO) closed its deal to buy 45% of Cronos Group (NASDAQ:CRON) for C$2.4 billion. And the cigarette maker's latest earnings disappointment would suggest Cronos Group stock is the better buy of the two if you're looking to make a play on marijuana stocks.Source: Shutterstock However, before you jump on your discount broker's website to buy some CRON stock, you might want to consider the argument for considering MO instead. Earnings in TransitionIn my opinion, free cash flow is the metric that rules most, if not all, investment decisions. That's because if you're a company with minimal debt and growing free cash flow, it's pretty hard to get into too much trouble in an economic downturn. InvestorPlace - Stock Market News, Stock Advice & Trading TipsAnd while an economic downturn doesn't appear to be imminent here in the U.S., economies have a way of turning sour in a hurry. Donald Trump's economic policies are all the rage right now with (a whopping 56% of ) Americans, but when the benefits of his tax cuts wear off and the country's debt problem worsens, you better own companies whose financials are rock solid. * The 10 Best Stocks to Buy for May Altria reported Q1 2019 results April 25. On the top line, revenues net of excise taxes fell 6.0% year over year to $4.4 billion. On the bottom line, adjusted earnings per share decreased 5.3% to $0.90. As if that wasn't bad enough, Altria missed the analyst estimate for earnings by two cents and revenues by $200 million. Ouch. Free Cash Flow Set to GrowHowever, the company is in the early stages of a cost reduction program that should generate significant savings over the next year. In addition, investments such as Cronos and Juul should change the company's growth trajectory in the years to come. A short-term decline in earnings isn't a big deal. From a free cash flow perspective, despite the downturn in earnings, Altria still managed to generate $2.25 billion in the first quarter. On a trailing 12-month basis, it's free cash flow is $7.6 billion providing CEO Howard Willard with plenty of cash to pay down the $16.3 billion in 4.1% unsecured debt it issued in February to pay for Juul and Cronos along with general corporate purposes. As long as it can commit to paying down a billion a year over the next five years, the increased cash flow from Juul along with gains from its Cronos investment should bring the total debt down to close to two times EBITDA from 2.8 after the first quarter. Willard put it best in the company's Q1 2019 press release"After taking steps to position Altria for long-term success at the end of 2018, we entered 2019 with an evolved business platform that includes our strong core tobacco businesses and new strategic investments with tremendous potential for growth," Willard stated. With 2019 adjusted earnings expected to grow by 4%-7%, there's an excellent possibility that free cash flow could surprise in 2019. Cronos Stake Worth LessSince Altria closed its deal in early March, Cronos Group stock has fallen in value by 23%. That's prompted InvestorPlace contributor Luce Emerson to suggest Altria overpaid. "With CGC and TLRY already off the market, Altria jumped for CRON," Emerson wrote April 11. "There are certainly synergies across Altria's core business with cannabis than with beer. Still, it is hard to justify paying a price to sales multiple of 267x (compare that to CGC's 86x).She goes on to suggest that if you compare Canopy Growth's (NYSE:CGC) market cap to kilograms sold with Cronos Group's, you'll see that Altria paid approximately $1.8 million per kilogram of cannabis sold or three times as much as investors pay for Canopy Growth.I'm as big a fan of unconventional metrics as anyone. However, in this case, I don't think we're talking about an apples-to-apples comparison. The fact is, we're not talking about mature companies here, such as Altria or Philip Morris International (NYSE:PM), where the price-to-sales comparison is a perfectly logical metric. Comparing P/S ratios at this point in the game when it comes to cannabis makes less sense than it did during the dot.com boom.Emerson is right about one thing. Altria knew it had to act sooner rather than later because it needed to have a place in line once the U.S. government legalized cannabis federally. Why?To show that the company and its partners are experienced in the production of cannabis and worthy of licenses in all 50 states.As I stated in December, compared to the price Altria paid for its 35% stake in Juul, its C$2.4 billion investment in Cronos Group was a steal given the long-term prognosis for cannabis in its various forms including edibles and infused drinks.Sometimes you have to pay a little more to gain entry to an exclusive club. Altria's now a member in full standing. * 10 Cheap Stocks to Buy Now For safety reasons, I'd buy Altria over Cronos Group stock.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 * The 10 Best Stocks to Buy for May * 7 Stocks Worth Buying When They're Down * 7 of the Best ETFs to Buy for a Slowing Economy Compare Brokers The post Cronos or Altria: Which is the Better Buy? appeared first on InvestorPlace.
- InvestorPlace•16 days ago
10 Vice Stocks to Spice Up Your Portfolio
With the markets and economy moving forward at a generally healthy rate, now doesn't appear the ideal time to consider vice stocks to buy. After all, most analysts recommend "sin" industries during downturns and periods of uncertainty.But the same factor that makes vice stocks so attractive during recessions -- namely, their resilient demand -- gives them relevancy today. Recently, President Trump made headlines when he called for the Federal Reserve to cut benchmark interest rates by 1%. Furthermore, he asked the central bankers to push more quantitative easing.Maybe "The Donald" is merely giving himself an insurance policy prior to the 2020 election. You have to hand it to him: that's smart thinking. On the one hand, if the economy roars into November of next year, any Democratic candidate might as well just pack it in early. But on the other hand, he also greenlighted vice stocks to buy.InvestorPlace - Stock Market News, Stock Advice & Trading TipsDonald Trump loves gold. In fact, it wasn't too long ago that the then real-estate mogul accepted bullion as a lease payment. Clearly, he was sending a political message about unsustainable QE. Now he's the one requesting financial engineering. If that doesn't send you some chills about the real health of the economy, I don't know what will. * The 10 Best Stocks to Buy for May Maybe I'm reading too deeply into this … or maybe, you should consider adjusting your longer-term strategy. If so, here are ten vice stocks to buy: Altria Group (MO)Rather than one of the vice stocks to buy, Altria Group (NYSE:MO) has earned a reputation as a dumpster fire. Some of the negativity is understandable. Smoking it appears is no longer as sinfully cool as it was in prior generations. E-cigarettes and vaporizers have taken over that realm. As a result, MO stock has never really looked comfortable.Still, I'm confident that Altria will soon establish a baseline. From there, I believe contrarian investors will see significant upside, as long as they remain patient. Here's the deal: although broader smoking trends are declining, millennials are more likely to start the habit. According to ScienceDaily.com, a shift in youth subculture - such as delaying baby-making - facilitates living on the edge.Cynically, this backdrop pushes MO into a viable list of contrarian stocks to buy. Additionally, you can't overlook its 6% dividend yield. Philip Morris (PM)A growing consumer base among millennials also helps tobacco-rival Philip Morris International (NYSE:PM). Young Americans most likely live incredibly-stressed lives compared to older demographics who were once their age. For instance, an alarming number of millennials have used payday loans to make ends meet. Indirectly, that helps vice stocks to buy like PM.Another factor? Companies like Philip Morris have attempted to counter the rise of vaporizers with their own alternatives. That effort just received a shot of adrenaline from the Food and Drug Administration recently. The federal agency gave the okay to PM regarding their IQOS device, which functions similarly to e-cigarettes. * 10 Tech Stocks to Buy Now for 2025 Here's why I'm specifically interested in PM stock. People who vape come in two varieties: those who've never smoked before, and those who are trying to kick the habit. The latter group tends to be older, and therefore, have more money. I think they'll find IQOS more attractive, driving up revenues. Cronos Group (CRON)Since late February to early March of this year, cannabis firm Cronos Group (NASDAQ:CRON) experienced a noticeable downturn. Indeed, other sector players have also followed suit. Turns out, the honeymoon phase for marijuana stocks to buy has faded. Currently, investors want to see a pathway to profitability.Eventually, they'll get that pathway. But for now, honeymoon phase or not, it's a time for investments and a focus on growth. That doesn't sit well with traditional buyers, who like to see stable balance sheets and evidence of sustainability.Of course, marijuana investments like CRON stock run short on traditional metrics. However, I think the markets must cut Cronos and others like it some slack. The industry is just going through some growing pains. However, the ultimate upside potential - such as full legalization in the U.S. - is tremendous.Therefore, I'd take a serious look at CRON stock. This discount may not last forever. Aleafia Health (ALEAF)Like other speculative marijuana stocks to buy, Aleafia Health (OTCMKTS:ALEAF) is all over the map. In early February of this year, ALEAF stock more than doubled in value against the January opener. But since then, shares of the medical-cannabis firm have disappointed stakeholders. I would know. I'm one of them.Yet I'm not discouraged because I have a longer-term outlook. Plus, I knew what I was getting into: ALEAF is among the most speculative of vice stocks to buy. It's a feast-or-famine pick, and I take full responsibility for my choice.That said, I wasn't just gambling on Aleafia. As any news outlet will tell you, the U.S. is suffering a severe opioid epidemic. Largely, this occurred because big pharmaceutical companies gambled with our health. What was sold as non-psychoactive drugs were tragically anything but. * 7 Energy Stocks to Buy to Light Up Your Portfolio Aleafia sidesteps this problem completely with their focus on natural therapies. Therefore, I like ALEAF stock, even though it's going through a rough spell. Wynn Resorts (WYNN)Las Vegas has a slogan that tells you all you need to know about it: what happens there, stays there. Unfortunately for Wynn Resorts (NASDAQ:WYNN), a lot of stuff failed to remain in place. Most notably, former Wynn Resorts CEO Steve Wynn resigned due to a scandalous sexual-misconduct allegation.Another thing that failed to stay in Vegas? Demand. Specifically, Clark County which has jurisdiction over Sin City witnessed ever-deteriorating gaming revenue. Look, people aren't visiting a nasty, smelly, and sweltering dump like Las Vegas for the scenery. So if gambling can't attract tourists, nothing will.But the bright spot for WYNN stock? Those revenues are finally returning to their former glory. Clark County's gaming revenue hit $10.25 billion. This is the first time we've seen the $10 billion mark since the sub-prime lending crisis.That bodes very well for WYNN, which is one of the more underappreciated vice stocks to buy. Sturm Ruger & Company (RGR)It's either a curse or a sign of the times. Whenever I want to talk about my favorite vice stocks to buy - firearm manufacturers - something terrible happens. I'm a firm believer that guns don't kill people; crazy people with access to whatever platform they have available kill people.But taking aside the controversies regarding firearms-related crimes and the associated politics, I like sector players like Sturm Ruger & Company (NYSE:RGR) for purely economic reasons. As much as the left would like you to believe otherwise, Americans love guns. Not only that, the gun-buying demographic is much wider than you think.Don't believe me? Look what happened in California last month. A federal judge ruled that preventing Californians from buying standard and high-capacity magazines is unconstitutional. Opposing factions pressured the judge to reverse course, but not before millions of "freedom sticks" found their way into many Golden State homes. * 5 Stocks That Failed to Impress Investors This Earnings Season California and other liberal states are just waiting for another black-swan event. If that occurs, watch out: firearms investments like RGR stock stand to benefit greatly. American Outdoor Brands (AOBC)Many years ago, I accompanied a friend who was window-shopping for a handgun. Our salesperson was exactly what you would imagine a man selling guns would look like: big, hairy, and bearded, with tattoos inked into his fists.That wasn't the scary part. No, it was the German Shephard and the swastika tucked away in the corner that freaked me out.Over time, though, firearms companies realized that such imagery doesn't really help sales. Instead, many industry players softened their image because one demographic has significantly increased their presence in the firearms space: women.That's right. The modern American lady is likely packing some heat, while looking great doing so. And that really benefits American Outdoor Brands (NASDAQ:AOBC). You know AOBC as Smith & Wesson.For those that don't know, Smith & Wesson is a premiere firearms manufacturer. Better yet, women apparently love their guns, with the Smith & Wesson MP Shield chambered in 9mm ranking highly. This also makes a great Mother's Day gift if you don't have any other ideas…just sayin'. Olin Corporation (OLN)If you learned anything about the previous two companies, it's that all Americans love guns. Men and women of incredibly-diverse backgrounds gravitate toward firearms for two principle reasons. First, America is a violent country, and police response is shockingly limited. Therefore, most people should consider taking responsibility for their own protection. The second reason? They're fun.To feed that fun, though, is an expensive endeavor. That's where Olin Corporation (NYSE:OLN). OLN is a perfect pick among vice stocks to buy in that it's not at all a seedy organization. Principally, Olin is a chemicals specialist. Without its ammunition business, OLN is a great place to grow your money with its 3.9% dividend yield. * 7 Stocks Worth Buying When They're Down That said, OLN owns the ammunition brand Winchester. It's a very popular brand among firearms enthusiasts because they're relatively cheap yet reliable. Out of 857 million firearms in the world, Americans own 393 million of them, or 46%. That's why OLN belongs on this list of vice stocks to buy. RCI Hospitality (RICK)RCI Hospitality (NASDAQ:RICK) is in the hospitality business like I'm in the king crab fishing industry. While I'm sure you get excellent treatment and services at RCI's many esteemed clubs, RICK operates the term very broadly. Of course, I wouldn't know anything about this, but I do have a friend who visits frequently.Alright, enough with the cheap jokes. No matter how many times our politically-correct society tries to suppress it, sex sells. It's a dirty way to go about your marketing and advertising endeavors, but it's just the truth. RICK stock represents escapism, fantasy, and sexuality, all rolled into one.More importantly, this "hospitality" industry does very well during a recession. In upscale clubs, women have earned $100,000 to $300,000 annually, even during the Great Recession's immediate aftermath. That's a gender-pay gap that no one is complaining about! GEO Group (GEO)Sometimes, you've got to let out some steam, which is partially why the above vice stocks to buy exist. However, if you let out too much steam, you might end up on the wrong end of GEO Group (NYSE:GEO). Within the sin industry, GEO probably generates the most controversy as a private prison.Also, it's fair to point out that GEO stock represents the true definition of a vice investment. You might wonder how such an organization makes money. For starters, they feed government demand. GEO recently inked a deal to house foreign criminals who violate immigration laws. You think shares will rise if Trump wins another term?Second, GEO is akin to modern-day slavery. While in their penal institutions, prisoners perform tasks for pennies on the dollar. When they've served their time, GEO recognizes that the recidivism rate is extremely high. Ex-prisoners are more likely to come back, bolstering the company's revenue stream. * 10 Cheap Stocks to Buy Now It's a nasty business that preys on disenfranchised members of society. However, I can't deny that it's brilliant, albeit in a sick way. If you have no qualms about anything, GEO is your stock.As of this writing, Josh Enomoto is long ALEAF stock. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 10 Best Stocks to Buy for May * 7 Stocks Worth Buying When They're Down * 7 of the Best ETFs to Buy for a Slowing Economy Compare Brokers The post 10 Vice Stocks to Spice Up Your Portfolio appeared first on InvestorPlace.
- Business Wire•16 days ago
Philip Morris International CEO Speaks at Boston College Chief Executives Club
André Calantzopoulos, chief executive officer of Philip Morris International Inc. (PMI) (PM), today addressed the Boston College Chief Executives Club, setting out how PMI is radically changing its business to unsmoke the world and encourage the hundreds of millions of current adult smokers who would otherwise continue smoking cigarettes to change to better options. The speech was delivered days after the U.S. Food and Drug Administration (FDA) confirmed that IQOS, PMI’s electrically heated tobacco system, is appropriate for the protection of public health and authorized it for sale in the U.S.
- InvestorPlace•17 days ago
Why Life Insurance Is Actually a Natural Choice for Philip Morris Stock
In what has to be one of the strangest headlines over the years, Philip Morris International (NYSE:PM) announced that they're getting into the life-insurance business. Yes, we're talking about that Philip Morris, the famous (or infamous) distributor of tobacco products. Even more strange, PM stock is taking the news quite well.Source: Shutterstock Shares closed up slightly on the Tuesday session, and didn't really move much during extended hours. Of course, that dynamic runs counter to our intuition. According to the Centers for Disease Control and Prevention, cigarette smoking is the leading cause of preventable death. It's almost as if management is deliberately throwing Philip Morris stock into a fierce headwind.Even more curious, PM is offering discounts to buyers who either transition to smoking alternatives like vaporizers or quit altogether. Here's how this will work. For those who switch to e-cigarettes, they'll receive a 2.5% discount on insurance premiums. Anyone moving to a Philip Morris-branded heat-not-burn product -- specifically iQOS -- will get a 25% discount.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 High-Yielding Dividend Stocks That Won't Wilt Finally, buyers who quit smoking for at least a year will enjoy half off on premiums. On the surface, this is an awfully risky environment for PM stock. I'm sure I'm not the only investor who thought, what the heck is management smoking?At the same time, it can also be a genius move that may stabilize Philip Morris stock. Cynicism Drives PM StockJust based on headlines alone, you would imagine this is the equivalent of McDonald's (NYSE:MCD) buying out Weight Watchers (NASDAQ:WW). But dive a little deeper into the details, and you get the true sense of where management is headed: they just want the insured to transition to Philip Morris-branded e-cigarettes.And of course, that's a great business strategy that should boost PM stock. A major fundamental overhang working against tobacco firms is shifting consumer habits. Today, it's no longer fashionable to smoke as it once was. Anti-tobacco advocates have done wonders exposing the seedy side of the business, ranging from health concerns to predatory practices.Plus, the cool kids are not smoking. Instead, they're vaping, and it's not hard to see why. For example, take a quick peek at some of the popular e-juice products. You'll find a dazzling array of fruit and organic blends, and candy-inspired flavors. I don't vape yet I'm tempted to!However, it's not just the broader shift toward e-cigarettes that benefits Philip Morris stock. We're talking big tobacco, so naturally, they'll amp up the cynicism factor. Management realizes quite well that no matter how much you want to quit smoking, you just won't do it. Therefore, they don't really have to worry about giving up a 50% discount.For non-smokers, the path to abstinence appears easy and straightforward. Put on a nicotine patch, or chew some nicotine gum, and eventually, you're on your way to freedom. Yet recent scientific studies indicate that tobacco is much more addictive than experts initially thought. * 7 of the Best ETFs to Buy for a Slowing Economy For instance, the CDC reports that average smokers take eight to 11 attempts to quit. The American Cancer Society has similar numbers, between eight to 10. But the bottom line? PM knows you likely won't quit. Philip Morris Stock to Benefit From Easy CompetitionWhile today's focus is on the company's new business venture, what underlines PM stock, again, is the cynicism. This is management's attempt to adapt to changing market conditions and funnel more revenues into their pockets.Better yet, this is a very realistic strategy. Although the e-cigarette revolution has historically hurt big tobacco, this age-old industry has something the upstart sector does not: massive resources. After paying down some debt, PM is sitting on more than $3 billion in cash.On the other hand, the e-cigarette industry is comprised of many small Chinese companies competing for consumer dollars. Although it's a flashy (literally, in some cases) segment, it's also extremely cutthroat. Plus, geopolitical tensions such as the one we're suffering through right now can present challenges to typical e-cigarette makers.PM, though, has the resources to ride this and other waves. Admittedly, their products haven't captured vape users' attention like the Chinese companies have. But they have ample funds to invest in research and development. Worse comes to worst, management can buy out their vaping competitors, which supports the cause for Philip Morris stock.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 High-Yielding Dividend Stocks That Won't Wilt * 4 Energy Stocks Soaring as Trump Tightens on Iran * 7 Tech Stocks With Too Much Risk, Not Enough Upside Compare Brokers The post Why Life Insurance Is Actually a Natural Choice for Philip Morris Stock appeared first on InvestorPlace.
- Business Wire•17 days ago
Philip Morris International CEO to Speak at Boston College Chief Executives Club
What: André Calantzopoulos, Chief Executive Officer of Philip Morris International Inc. (PMI), will address Boston’s business community and leaders during an invitation-only event at the Boston College Chief Executives Club, a long-recognized forum for conversation and connection. The speech comes days after the U.S. Food and Drug Administration confirmed that IQOS, PMI’s electrically heated tobacco system, is appropriate for the protection of public health and authorized it for sale in the U.S. Calantzopoulos will present the extended efforts PMI is making to replace cigarettes with a portfolio of revolutionary products and engage with the area’s leading business representatives in a call to action to unsmoke the world.
