Philip Morris International PM
Philip Morris International is a global tobacco company that sells cigarettes (Marlboro) and smoke-free products (IQOS, ZYN) in markets outside the US, with a business model based on strong brands and high margins. Philip Morris shows a solid moat with a gross margin of 67.48% and operating margin of 40%, but its valuation is demanding (P/E 26.16) and earnings growth is negative (-7.5%), weighed down by the transition to smoke-free products and the high-rate environment.
Detailed metrics
Market and fundamental data as of the analysis date.
Full AI report
Generated automatically from the metrics, the macro context and the company's news.
Philip Morris International is a global tobacco company that sells cigarettes (Marlboro) and smoke-free products (IQOS, ZYN) in markets outside the US, with a business model based on strong brands and high margins. Philip Morris shows a solid moat with a gross margin of 67.48% and operating margin of 40%, but its valuation is demanding (P/E 26.16) and earnings growth is negative (-7.5%), weighed down by the transition to smoke-free products and the high-rate environment.
Score by category
| Category | Score |
|---|---|
| Financial health | 6.6 |
| Quality / Moat | 8.2 |
| Valuation | 4.1 |
| Growth | 5.1 |
| Dividend | 6.3 |
| Momentum | 6.9 |
| Risk & Context | 8.1 |
OVERALL SCORE: 6.5/10
Context and risks
Structural regulatory risk of the tobacco sector: possible restrictions on smoke-free products and litigation. Additionally, the rise in 10-year Treasury yields (5.17%) affects the valuation of a company with a P/E of 26.16 and net debt/EBITDA of 2.39, although the effect is already partially discounted.
News considered in the analysis
- 2 Top Dividend Stocks to Buy and Hold Forever — Listículo genérico sin información nueva sobre PM.
- 2 S&P 500 Stocks Worth Your Attention and 1 We Turn Down — Opinión sin datos concretos que afecten a la valoración.
- PM vs. MO: The Smoke-Free Dividend Winner in This Tobacco Showdown — Comparativa que destaca la ventaja de PM en productos sin humo, refuerza la tesis de crecimiento pero sin catalizador nuevo.
- Why the Economy Can Handle Surging Bond Yields—for Now — Macro general sin impacto directo en PM.
- 3 Reasons Growth Investors Will Love Philip Morris (PM) — Artículo positivo que destaca el crecimiento de ingresos y la expansión de productos sin humo, pero sin datos nuevos.
Verdict: Hold; business quality and the dividend (3.36%) provide support, but valuation and weak growth limit upside.
Main risk: The main risk is regulatory: potential restrictions on smoke-free products (IQOS, ZYN) and litigation in key markets, which could erode growth and margins.
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