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Philip Morris stock hits all-time high of $133.38 amid robust growth

Published 10/31/2024, 09:55 AM
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Philip Morris International Inc (NYSE:PM). has reached an unprecedented milestone as its stock price soared to an all-time high of $133.38. This remarkable peak reflects a significant surge in the company's market value, underpinned by a robust 1-year change of 49.97%. Investors have shown increased confidence in the tobacco giant's strategy and growth prospects, propelling the stock to new heights and outperforming many of its industry peers. The company's innovative shift towards reduced-risk products and strong international presence are key factors contributing to its impressive financial performance and the stock's remarkable journey to its current all-time high.

In other recent news, Philip Morris International Inc. has reported promising results in its third-quarter earnings call, highlighting significant organic revenue growth and a strong year-on-year increase in adjusted diluted earnings per share (EPS). The company has attributed this success to robust sales of its smoke-free products, IQOS and ZYN, and growth in the combustibles segment. Furthermore, Barclays recently maintained an Overweight rating on the company, increasing the price target to $155 from $145, citing industry-leading revenue and EPS growth.

IQOS volumes grew by 15% year-on-year, primarily in Japan and Europe, while ZYN shipments in the U.S. saw over 40% growth. Philip Morris has raised its full-year guidance, projecting a 2%-3% volume growth, 9.5% organic net revenue growth, and 14%-15% adjusted diluted EPS growth.

Recent developments include a sequential improvement in market share for ZYN in Q3 and positive volume trends in international cigarette markets. Despite potential challenges from shipment mix and supply constraints, and a proposed settlement for Canadian litigation, Philip Morris remains confident in the sustainable demand for smoke-free alternatives and plans to capture over 50% market share in low and middle-income countries. Barclays has shown optimism in Philip Morris's ability to achieve and maintain a higher growth trajectory than its peers in the industry.

InvestingPro Insights

Philip Morris International's recent stock performance aligns with several key metrics and insights from InvestingPro. The company's market capitalization stands at an impressive $206.89 billion, reflecting its dominant position in the tobacco industry. This is further supported by an InvestingPro Tip highlighting PM as a "prominent player in the Tobacco industry."

The stock's surge to an all-time high is corroborated by InvestingPro data showing a strong 56.02% total return over the past year, and an even more impressive 42.54% return in just the last six months. These figures underscore the article's mention of the 49.97% 1-year change and the stock's remarkable journey.

Additionally, PM boasts a dividend yield of 4.09%, with an InvestingPro Tip noting that the company "has raised its dividend for 16 consecutive years." This consistent dividend growth may be attracting income-focused investors and contributing to the stock's positive momentum.

For investors seeking more comprehensive analysis, InvestingPro offers 16 additional tips on Philip Morris International, providing a deeper understanding of the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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