Analyst Simon Hales of Citi maintained a Buy rating on Philip Morris (PM – Research Report), boosting the price target to $180.00.
Simon Hales has given his Buy rating due to a combination of factors that highlight Philip Morris’s strong financial outlook and growth potential. The company has demonstrated solid performance with impressive organic sales growth and profit increases, which are expected to continue. Despite some expected slowdowns in specific product volumes, such as Zyn in the US, the overall growth trajectory remains positive, supported by robust IQOS volumes and resilient cigarette sales.
Furthermore, the recent weakness of the Dollar has created a favorable foreign exchange environment, contributing to an anticipated upgrade in the company’s earnings per share guidance for FY25. This positive FX impact, along with the CFO’s commitment to improving reported EPS, has led to a projected increase in adjusted EPS guidance. Consequently, Hales sees a 13.8% expected share price return, reinforcing his Buy rating for Philip Morris.
In another report released on April 14, Bank of America Securities also reiterated a Buy rating on the stock with a $175.00 price target.
Based on the recent corporate insider activity of 60 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of PM in relation to earlier this year.