Philip Morris stock hits all-time high of $158.39

Published 03/03/2025, 18:50
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In a remarkable display of market resilience, Philip Morris International Inc. (NYSE:PM) stock has soared to an all-time high, reaching a price level of $158.39. According to InvestingPro data, the tobacco giant now commands a substantial market capitalization of $246 billion, though current technical indicators suggest the stock may be approaching overbought territory. This milestone underscores the company’s robust performance amidst a challenging economic landscape. Over the past year, Philip Morris has witnessed an impressive 1-year change, with its stock value surging by 81.5%. The company maintains strong fundamentals with a 64.8% gross profit margin and has consistently raised its dividend for 17 consecutive years, currently yielding 3.5%. This significant uptick reflects investor confidence in the tobacco giant’s strategic initiatives and its potential for sustained growth in the face of evolving consumer habits and regulatory environments. Trading at a P/E ratio of 34.9, the stock currently appears overvalued according to InvestingPro’s Fair Value analysis. Discover 15+ additional exclusive insights and detailed financial metrics with an InvestingPro subscription.

In other recent news, Philip Morris International has been the focus of several analyst updates following its latest earnings report and projections for the coming year. Citi analysts have raised their price target for the company to $163, maintaining a Buy rating due to strong revenue and margin growth in both combustible and smokeless products. They anticipate a 10.1% growth in heated tobacco unit volumes and expect the company’s adjusted earnings per share (EPS) for fiscal year 2025 to be $7.16, aligning with company guidance. Stifel analysts also increased their price target to $160, citing Philip Morris’s 10% constant currency growth in EPS for the fourth quarter, which exceeded their estimates.

Stifel highlighted the company’s strong momentum, forecasting 6-8% organic sales growth and 10.5-12.5% EPS growth for 2025. In a separate update, Stifel had maintained a $145 price target, emphasizing Philip Morris’s 9.6% growth in constant currency EPS and a 7.3% rise in organic revenue. Meanwhile, the company’s stock also saw a 1% increase after the U.S. government dropped a proposal to ban menthol cigarettes, a move seen as favorable for tobacco companies.

Additionally, Philip Morris was among the defensive stocks that gained amid a market shift away from tech stocks due to concerns over China’s DeepSeek AI model. The company’s continued focus on expanding its smoke-free product market is reflected in both analyst confidence and investor interest. These developments indicate a positive outlook for Philip Morris as it navigates the evolving regulatory landscape and market conditions.

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