Trump announces trade deal with EU following months of negotiations
Investing.com - Stifel has reiterated its Buy rating and $186.00 price target on Philip Morris (NYSE:PM), which has seen an impressive 52.89% return over the past six months and maintains industry-leading gross profit margins of 65.68%. The rating comes following the firm’s attendance at the company’s Europe Focus Event last week.
The event included updates on Philip Morris International’s strategic priorities in Europe and major markets, as well as a visit to the company’s flagship smoke-free product manufacturing plant, according to Stifel analyst Matthew Smith. InvestingPro data shows the company has raised its dividend for 17 consecutive years, demonstrating consistent shareholder returns.
Europe represents a critical region for Philip Morris, with Stifel estimating it will contribute approximately one-third of the company’s smoke-free growth through 2026, benefiting from momentum in IQOS and its developing multi-category strategy with VEEV e-vapor and ZYN pouches. Trading near its 52-week high, InvestingPro analysis suggests the stock is currently overvalued, with 14 additional ProTips available for subscribers.
The meetings featured presentations by Massimo Andolina, President of Europe for PMI, and several regional leaders in key geographies, providing insights into the company’s European operations and strategy.
Stifel expressed a "positive bias" toward Philip Morris’s developing multi-category approach in smoke-free products, which aims to capture and drive incremental consumer shift beyond a sole focus on heated tobacco.
In other recent news, Philip Morris International Inc. has reaffirmed its 2025 profit forecast, projecting an earnings per share (EPS) between $7.01 and $7.14, with an anticipated currency-neutral growth of 10.5% to 12.5%. This announcement aligns with the company’s previous guidance and reflects confidence in its smoke-free product strategy. BofA Securities has increased the price target for Philip Morris stock to $200, maintaining a Buy rating, highlighting the company’s multi-product strategy as a key growth driver. Meanwhile, UBS analysts have maintained a Neutral rating on the stock, with a price target of $170, noting improvements in the U.S. market for ZYN nicotine pouches.
Philip Morris has also expanded its IQOS product to a second pilot market in Fort Lauderdale, Florida, as part of its broader market entry strategy. At the recent Annual Meeting of Shareholders, all nominated board members were elected, and executive compensation received advisory approval. PricewaterhouseCoopers SA was ratified as the independent auditors for the fiscal year ending December 31, 2025. These developments indicate strong shareholder support for the company’s governance matters. In a related industry update, the FDA and U.S. Customs and Border Protection seized nearly two million units of unauthorized e-cigarette products, valued at $33.8 million, in a joint operation to prevent illegal imports.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.