Analyst Lisa Lewandowski from Bank of America Securities reiterated a Buy rating on Philip Morris and keeping the price target at $200.00.
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Lisa Lewandowski’s rating is based on several positive developments for Philip Morris. The CEO of Philip Morris, Jacek Olczak, provided an optimistic update on business trends, highlighting better-than-expected cigarette sales in Türkiye and Egypt, as well as strong growth for their products IQOS, international ZYN, and VEEV. Despite increased competition, the company is seeing momentum in the US ZYN market, and they plan to address the widened price gap with competitors through marketing and promotions.
Additionally, Philip Morris is making strategic moves such as the approval of heated tobacco sales in Taiwan and ongoing updates to the EU Tobacco Product Directive. Although there have been concerns about ZYN volume, the company has adjusted its estimates and remains confident in the long-term potential of ZYN both in the US and globally. The Buy rating is further supported by a price objective of $200, reflecting a premium valuation justified by the company’s strong smoke-free product performance and operational outlook.
According to TipRanks, Lewandowski is a 5-star analyst with an average return of 19.6% and a 75.86% success rate.
In another report released today, Barclays also maintained a Buy rating on the stock with a $220.00 price target.