Philip Morris International's Expansion in Smoke-Free Products and Strong Zyn Momentum Reinforces Confidence: Morgan Stanley
Portfolio Pulse from Shivani Kumaresan
Morgan Stanley analyst Pamela Kaufman reiterated an Overweight rating on Philip Morris International Inc (PM) with a price target of $113. The analyst sees significant growth opportunities for PM's IQOS in new and existing markets, and expects the expansion of smoke-free product portfolio to increase PM's addressable market. PM's new mid-term targets from 2024-2026 reflect stronger growth, and the company expects to generate $36 billion to 39 billion in total operating cash flow during this period. However, the analyst reduced 2023/24 EPS estimate due to unfavorable currency impacts.

October 03, 2023 | 7:25 pm
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Morgan Stanley analyst reiterated an Overweight rating on Philip Morris with a price target of $113. The analyst sees growth opportunities for PM's IQOS and expects the expansion of smoke-free product portfolio to increase PM's market. However, the 2023/24 EPS estimate was reduced due to unfavorable currency impacts.
The analyst's positive outlook on Philip Morris, including the Overweight rating and the price target of $113, indicates a potential upside for the stock. The expected growth of IQOS and the expansion of smoke-free product portfolio are likely to boost the company's revenues. However, the reduced EPS estimate due to unfavorable currency impacts could have a negative effect on the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100