Philip Morris International recently reported impressive Q1 results, largely driven by the success of their reduced risk product, Zyn. While some shareholders may be hesitant to increase the CEO compensation, the company's stock is still considered a sound investment by many brokers and industry insiders. Their strategy of focusing on heated tobacco products seems to be paying off, with these products experiencing increasing demand.
However, the company did face a setback after cutting its full-year profit guidance, causing its stock to underperform compared to competitors on certain days. Nevertheless, the company seems to have bounced back, with its stock outperforming competitors on strong trading days. The company's robust full-year earnings growth demonstrates its financial health, and with 79% of the shares owned by institutional owners, PM seems to hold a strong position in the market.
The company's aggressive push towards heated tobacco products is gaining traction among analysts and investors alike. Its ambitious plans for these smoke-free strength products make it a strong growth stock. Its dividend yield is also impressive, with a 5.6% yield that seems to be attracting the attention of value investors. Despite facing some legal and regulatory roadblocks, PM continues to persevere, and many consider the stock a good buy for income in 2024.
Looking forward, the company's focus on smoke-free products is expected to aid it in 2024. The regular quarterly dividend of $1.30 per share is bound to attract attention from investors. Analysts also seem bullish, with Stifel Nicolaus boosting PM's price target to $115. Despite some recent disappointment due to weaker IQOS shipments, the company is expected to bounce back as it hopes 2024/2025 brings new tailwinds.
Philip Morris International PM News Analytics from Sun, 23 Jul 2023 07:00:00 GMT to Tue, 07 May 2024 11:00:00 GMT -
