Zacks Investment Research cut shares of Philip Morris International (NYSE:PM) from a hold rating to a sell rating in a research report sent to investors on Monday morning.

According to Zacks, “Philip Morris has lagged the industry in the past six months due to constant declines in cigarette volumes, stemming from consumers’ rising health consciousness and stringent FDA regulations on tobacco products in terms of marketing and manufacturing tobacco products. These factors, which have been marring cigarette industry volumes for a while now, led to a 1.5% drop in Phillip Morris’ cigarette volumes during second-quarter 2018. To add to the company’s woes, the FDA is now bent on drastically reducing nicotine content in cigarettes. However, management, solid revenues from the reduced risk products category remains a major driver for Phillip Morris. Additionally, higher cigarette pricing has also been an advantage for Philip Morris.  That said, the company narrowed down its 2018 view, taking into consideration the impacts of certain marketing and product initiatives.”

A number of other research firms also recently issued reports on PM. ValuEngine raised shares of Philip Morris International from a strong sell rating to a sell rating in a research note on Friday, September 21st. Jefferies Financial Group reaffirmed a buy rating and set a $93.00 price target on shares of Philip Morris International in a research note on Friday, July 13th. Citigroup upped their price target on shares of Philip Morris International from $90.00 to $95.00 and gave the company a buy rating in a research note on Friday, September 21st. Societe Generale downgraded shares of Philip Morris International from a buy rating to a hold rating in a research note on Monday, July 23rd. Finally, Argus raised shares of Philip Morris International from a hold rating to a buy rating and set a $91.00 price target on the stock in a research note on Wednesday, July 25th. Three investment analysts have rated the stock with a sell rating, four have given a hold rating and eight have assigned a buy rating to the stock. The company has an average rating of Hold and a consensus price target of $103.82.

PM stock opened at $80.50 on Monday. Philip Morris International has a one year low of $76.21 and a one year high of $115.28. The company has a current ratio of 1.15, a quick ratio of 0.64 and a debt-to-equity ratio of -2.76. The firm has a market capitalization of $124.22 billion, a PE ratio of 16.01, a P/E/G ratio of 1.76 and a beta of 0.82.

Philip Morris International (NYSE:PM) last released its earnings results on Thursday, July 19th. The company reported $1.41 EPS for the quarter, topping the consensus estimate of $1.23 by $0.18. Philip Morris International had a net margin of 7.84% and a negative return on equity of 76.67%. The firm had revenue of $7.73 billion for the quarter, compared to the consensus estimate of $7.53 billion. During the same quarter in the previous year, the firm earned $1.14 earnings per share. The company’s quarterly revenue was up 11.7% compared to the same quarter last year. equities research analysts predict that Philip Morris International will post 5.03 EPS for the current year.

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 12th. Investors of record on Wednesday, September 26th will be paid a dividend of $1.14 per share. This represents a $4.56 dividend on an annualized basis and a yield of 5.66%. The ex-dividend date is Tuesday, September 25th. Philip Morris International’s payout ratio is 92.49%.

Hedge funds have recently bought and sold shares of the business. Aristotle Capital Management LLC bought a new position in Philip Morris International during the first quarter valued at $119,000. Shine Investment Advisory Services Inc. increased its position in Philip Morris International by 90.7% during the second quarter. Shine Investment Advisory Services Inc. now owns 1,245 shares of the company’s stock valued at $101,000 after acquiring an additional 592 shares during the last quarter. Clearwater Capital Advisors LLC bought a new position in Philip Morris International during the first quarter valued at $128,000. Landaas & Co. WI ADV bought a new position in Philip Morris International during the second quarter valued at $106,000. Finally, Bay Colony Advisory Group Inc d b a Bay Colony Advisors bought a new position in Philip Morris International during the second quarter valued at $108,000. Institutional investors and hedge funds own 72.68% of the company’s stock.

Philip Morris International Company Profile

Philip Morris International Inc, through its subsidiaries, manufactures and sells cigarettes, other tobacco products, and other nicotine-containing products. Its portfolio of brands comprises Marlboro, Parliament, Bond Street, Chesterfield, L&M, Lark, Philip Morris, Merit, Virginia S., Muratti, and Next.

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