Latest news with #Marlboro
Yahoo
a day ago
- Business
- Yahoo
UBS Raises Philip Morris (PM) Price Target on Smoke-Free Margin Growth
Philip Morris International Inc. (NYSE:PM) ranks among the . While maintaining its Neutral rating on Philip Morris International Inc. (NYSE:PM), UBS increased its price target for the tobacco giant's stock from $170 to $181 on July 14. The price target increase is in line with UBS's revised earnings per share estimates, which were increased by 0.4% for fiscal year 2025, 5.1% for fiscal year 2026, and 5.0% for fiscal year 2027. Copyright: jetcityimage / 123RF Stock Photo UBS emphasized Philip Morris's impressive growth in Smoke-Free gross margins, which are expected to rise from 60.7% in fiscal year 2022 to 70.9% in fiscal year 2025. This improvement is bolstered by scale/productivity gains from IQOS and U.S. ZYN products, which have margins of about 85%. With fiscal year 2025 projections of 873 million cans and $2.9 billion in revenues, the firm observed robust volume growth for ZYN in the US market, aided by inventory replenishment. Philip Morris International Inc. (NYSE:PM) is a global tobacco company that provides services to consumers in over 180 countries. With Marlboro as its signature product, the firm stands out among the titans of 'Big Tobacco.' While we acknowledge the potential of PM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. Read More: and Disclosure: None.
Reuters
22-07-2025
- Business
- Reuters
Philip Morris' shares hit as ZYN falls behind high sales expectations
July 22 (Reuters) - Marlboro maker Philip Morris International (PM.N), opens new tab missed second-quarter revenue expectations on Tuesday as shipments of its ZYN nicotine pouches disappointed. Shares in the world's largest tobacco company by market capitalization dropped about 7% in New York trade even as the company raised its full-year profit guidance. PMI has been faster than its peers to transition from traditional tobacco products to smoking alternatives such as ZYN, which has grown rapidly to become PMI's star product and by far the U.S. market leader. CEO Jacek Olczak told Reuters that he wants ZYN, which is expanding internationally, to become the dominant pouch brand much like the company's Marlboro label was to cigarettes. "I want to continue to be a leader," he said, adding that in markets where the nicotine pouch category is less developed, this can be achieved in just one or two years. British American Tobacco's (BATS.L), opens new tab Velo is currently the No. 1 nicotine pouch brand globally. While PMI's total sales rose 7.1% to $10.14 billion in the second quarter, they fell short of analysts' average estimate of $10.33 billion, as per data compiled by LSEG. Volumes in PMI's nicotine pouch business rose 23.8%. However, ZYN shipments of 190 million cans were behind the 203 million expected by analysts, Bernstein's Callum Elliot said in a note, adding that PMI's strong performance in recent quarters has led investors to set high expectations. "These numbers risk being not quite 'good enough' for the higher bar that PMI is likely to be held to today," he wrote. PMI said it also saw steady growth in inhalable alternative nicotine products, notably its flagship heated tobacco device IQOS. The company said this, as well as a "resilient" performance in cigarettes and record net revenues, meant it would raise its full-year guidance. It now expects an adjusted profit of $7.43 to $7.56 per share for the year, compared with its prior forecast of $7.36 to $7.49. Its second-quarter adjusted profit of $1.95 per share beat market estimates of $1.86 per share. The company aims to generate two-thirds of its net revenues from smoking alternatives by 2030.
Yahoo
22-07-2025
- Business
- Yahoo
Philip Morris Stock Tumbles as Sales Miss Estimates
Shelby Knowles / Bloomberg via Getty Images Even with Tuesday's losses, shares of Philip Morris International have added more than a third of their value year-to-date. Philip Morris International (PM) shares sank over 7% in Tuesday afternoon trading after the tobacco giant missed quarterly sales estimates as demand for cigarettes continued to decline. The maker of Marlboro cigarettes and IQOS heated tobacco devices reported second-quarter revenue rose 7.1% year-over-year to $10.14 billion, while analysts surveyed by Visible Alpha were looking for $10.27 billion. Adjusted earnings per share of $1.91 beat forecasts. Cigarette shipment volume fell 1.5% year-over-year to 155.2 billion, with total combustibles sales up just 2.1% to $6 billion. Meanwhile, smoke-free product volume jumped 11.8% to 44.8 billion, and sales surged 15.2% to $4.2 billion. CEO Jacek Olczak said the results reflected 'excellent momentum in our multicategory smoke-free business.' The company boosted its outlook for full-year adjusted EPS to $7.43 to $7.56 from the previous $7.36 to $7.49. However, it said it anticipates total cigarette and smoke-free shipment volume to be up approximately 1%, down from its previous guidance of a 2% gain, as cigarette volumes are expected to slide about 2%. Even with Tuesday's losses, shares of Philip Morris International have added more than a third of their value year-to-date. TradingView Read the original article on Investopedia
Yahoo
22-07-2025
- Business
- Yahoo
Philip Morris (PM) Q2 Earnings Top Estimates
Philip Morris (PM) came out with quarterly earnings of $1.91 per share, beating the Zacks Consensus Estimate of $1.85 per share. This compares to earnings of $1.59 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +3.24%. A quarter ago, it was expected that this seller of Marlboro and other cigarette brands would post earnings of $1.61 per share when it actually produced earnings of $1.69, delivering a surprise of +4.97%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Philip Morris, which belongs to the Zacks Tobacco industry, posted revenues of $10.14 billion for the quarter ended June 2025, missing the Zacks Consensus Estimate by 1.12%. This compares to year-ago revenues of $9.47 billion. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Philip Morris shares have added about 50% since the beginning of the year versus the S&P 500's gain of 7.2%. What's Next for Philip Morris? While Philip Morris has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Philip Morris was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.10 on $10.75 billion in revenues for the coming quarter and $7.49 on $41.02 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Tobacco is currently in the top 18% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Turning Point Brands (TPB), has yet to report results for the quarter ended June 2025. This company is expected to post quarterly earnings of $0.79 per share in its upcoming report, which represents a year-over-year change of -11.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Turning Point Brands' revenues are expected to be $105.55 million, down 2.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Philip Morris International Inc. (PM) : Free Stock Analysis Report Turning Point Brands, Inc. (TPB) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Wall Street Journal
22-07-2025
- Business
- Wall Street Journal
Philip Morris 2Q EPS Tops Views, Company Boosts 2025 EPS Projection
Philip Morris International's PM 0.98%increase; green up pointing triangle second-quarter earnings surpassed Wall Street expectations on higher revenue and the tobacco giant boosted its projection for 2025 growth, with fortunes lifted by the burgeoning popularity of its Zyn oral nicotine pouches. The tobacco company, which sells cigarettes such as Marlboro, Parliament in overseas markets and smokeless tobacco such as Zyn worldwide, logged second-quarter earnings of $1.95 a share.
