Philip Morris executive sells $1.49 million in stock

Published 21/02/2025, 17:50
© Reuters

Barth Werner, an officer at Philip Morris International Inc. (NYSE:PM), recently sold 10,000 shares of the company’s common stock, according to a filing with the Securities and Exchange Commission. The tobacco giant, currently valued at $239 billion, has seen its stock surge 75% over the past year, recently hitting new 52-week highs. The transaction, which took place on February 20, 2025, was executed at an average price of $148.67 per share, totaling approximately $1.49 million. This sale was made to cover annual Swiss tax obligations, as noted in the filing. According to InvestingPro analysis, the stock appears to be trading at premium valuations with a P/E ratio of 33.9x, and technical indicators suggest overbought conditions.

Additionally, on February 19, Werner had 791 shares withheld at a price of $148.74 each to satisfy tax obligations related to the vesting of Restricted Share Units and Performance Stock Units. Following these transactions, Werner holds 106,244 shares of Philip Morris, which includes 20,070 Restricted Share Units. For deeper insights into insider trading patterns and 18 additional key metrics, check out the comprehensive Philip Morris InvestingPro Research Report.

In other recent news, Philip Morris International’s financial outlook has been bolstered by positive analyst assessments. Citi analysts increased their price target for the company to $163, maintaining a Buy rating, citing strong performance in 2024 and an optimistic outlook for 2025. They anticipate a 10.1% growth in heated tobacco unit volume and project an 11.2% increase in organic operating income for 2025. Stifel analysts also raised their price target to $160, highlighting a 10% growth in fourth-quarter earnings per share, driven by 7% organic sales growth and improved operating profit margins. The company expects 6-8% organic sales growth in 2025, with foreign exchange rates presenting a smaller-than-expected challenge.

Additionally, Philip Morris shares gained 1% after the Trump administration withdrew a proposal to ban menthol cigarettes, alleviating regulatory concerns. This development was seen as a positive for tobacco companies, given the significant market share of menthol cigarettes in the U.S. The decision to drop the menthol ban proposal reflects investor relief and has contributed to the upward movement of Philip Morris’s stock.

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