Latest news with #IQOS
Yahoo
5 days ago
- Business
- Yahoo
VEEV Volumes Double: Will Philip Morris' E-Vapor Bet Pay Off?
Philip Morris International (PM) saw its e-vapor brand VEEV more than double shipment volumes year over year in the second quarter of 2025, a striking development in the multi-category smoke-free strategy. With nearly 1.5 billion equivalent units shipped in the first half of 2025, VEEV is increasingly emerging as a viable growth engine alongside the more mature IQOS and ZYN brands. Europe remains the driving force behind VEEV's success, where it now holds the #1 closed pod position in six markets, including Italy and Greece. PM's profitability-driven rollout strategy is gaining traction, further boosted by repeat purchase rates and rising consumer loyalty, indicators of deeper market penetration. PM recently launched its latest innovation, VEEV inPRIME, in the Czech Republic. The product offers an upgraded premium user experience with enhanced flavor intensity, larger vapor clouds and extended battery life, all with an optimized pod cost profile. The launch reflects PM's continued push to elevate user satisfaction and strengthen VEEV's premium positioning within its smoke-free portfolio. Beyond Europe, early traction in Indonesia, Canada and Colombia highlights the brand's global potential, with further rollouts underway. Importantly, PM seeks to leverage its multi-category infrastructure under the IQOS umbrella, defined by quality, premiumness and superior technology, to support VEEV's expansion and build consumer loyalty across markets. While still smaller in scale than PM's flagship offerings, VEEV's accelerating volumes and improving unit economics indicate growing traction. As the company continues to expand its smoke-free portfolio, VEEV's progress will be worth watching, particularly amid ongoing shifts in consumer preferences and regulatory landscapes. PM's Competition in E-Vapor, Oral Nicotine Growth Altria Group, Inc. (MO) is actively revamping its NJOY product line, aiming to re-enter the e-vapor market with a redesigned device while expanding the vapor portfolio. However, Altria Group continues to face regulatory hurdles and patent litigation that may delay its timeline. Meanwhile, Altria Group's oral nicotine brand, on!, gained 10 share points year over year in the second quarter of 2025, driving significant profit growth in the oral segment. In contrast, Turning Point Brands, Inc. (TPB) reported nearly 10x year-over-year growth in white nicotine pouch sales, generating $22.3 million in revenues in the first quarter of 2025. Turning Point Brands credited this surge to the launch of ALP and expanded distribution of FRE. Building on this momentum, Turning Point Brands raised its full-year modern oral sales guidance to $80-$95 million, indicating strong consumer uptake and aggressive retail expansion. PM's Price Performance, Valuation & Estimates Shares of Philip Morris have lost 10% in the past month compared with the industry's decline of 2.9%. Image Source: Zacks Investment Research From a valuation standpoint, PM trades at a forward price-to-earnings ratio of 20.3X, up from the industry's average of 14.7X. Image Source: Zacks Investment Research The Zacks Consensus Estimate for PM's 2025 and 2026 earnings implies year-over-year growth of 14% and 12%, respectively. Image Source: Zacks Investment Research Philip Morris currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Altria Group, Inc. (MO) : Free Stock Analysis Report Philip Morris International Inc. (PM) : Free Stock Analysis Report Turning Point Brands, Inc. (TPB) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
6 days ago
- Business
- Yahoo
Philip Morris Stock Outlook: Is Wall Street Bullish or Bearish?
With a market cap of $253.7 billion, Philip Morris International Inc. (PM) is a global tobacco company focused on delivering a smoke-free future. Its product portfolio includes traditional cigarettes, smoke-free alternatives like IQOS and ZYN, and expanding offerings in wellness and healthcare. Shares of the Stamford, Connecticut-based company have outperformed the broader market over the past 52 weeks. PM stock has surged 38.3% over this time frame, while the broader S&P 500 Index ($SPX) has gained 18.4%. Moreover, shares of Philip Morris are up 35.4% on a YTD basis, compared to SPX's 7.6% increase. More News from Barchart Dear Nvidia Stock Fans, Mark Your Calendars for August 27 Options Traders Expected Palantir Stock's Tamest Earnings Reaction in a Year. Did They Get It Right? Tesla Gains on Elon Musk's New Pay Package. Is TSLA Stock a Buy? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Narrowing the focus, the tobacco giant stock has also outpaced the Consumer Staples Select Sector SPDR Fund's (XLP) 1.6% rise over the past 52 weeks. Despite reporting a better-than-expected Q2 2025 adjusted EPS of $1.91, shares of Philip Morris tumbled 8.4% on Jul. 22. Total sales rose 7.1% to $10.1 billion and ZYN shipments came in at 190 million cans, both missing analysts' estimates. For the fiscal year ending in December 2025, analysts expect PM's adjusted EPS to grow 14.3% year-over-year to $7.51. The company's earnings surprise history is promising. It beat the consensus estimates in the last four quarters. Among the 14 analysts covering the stock, the consensus rating is a 'Strong Buy.' That's based on nine 'Strong Buy' ratings, two 'Moderate Buys,' and three 'Holds.' On Jul. 14, UBS maintained its 'Neutral' rating on Philip Morris but raised its price target to $181, citing strong smoke-free margin growth driven by IQOS and ZYN, with robust U.S. volume projections and revised earnings estimates through 2027. As of writing, the stock is trading below the mean price target of $193.38. The Street-high price target of $220 implies a potential upside of nearly 35% from the current price. On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
01-08-2025
- Business
- Yahoo
Philip Morris International (PM) Transition Gathers Steam amid Mixed Q2 Results
Philip Morris International Inc. (NYSE:PM) is one of the defensive stocks billionaires are buying amid US trade tariff uncertainty. On July 22, the company delivered mixed second-quarter results. While sales increased 7.1% year over year to $10.14 billion, they fell short of analysts' estimates of $10.33 billion. Adjusted profit came in at $1.95 per share, beating market estimates of $1.86 per share. The disappointing sales number came as Philip Morris ramped up its transition from traditional tobacco products to smoking alternatives such as ZYN. During the quarter, the company shipped 190 million ZYN cans, falling short of consensus estimates of 203 million ZYN cans. Philip Morris International Inc. (NYSE:PM) is trying to position ZYN as a dominant brand much like the Marlboro label. In addition to ZYN, PMI is also experiencing steady growth in its inhalable nicotine products, led by its heated tobacco device, IQOS. It aims to generate two-thirds of net revenues from smoking alternatives by 2030. Buoyed by its second-quarter results, PMI raised its full-year adjusted profit target to between $7.43 and $7.56, up from the previous guidance of between $7.36 and $7.49. Philip Morris International Inc. (NYSE:PM) is a leading tobacco company that is actively transitioning towards a smoke-free future. It focuses on developing and commercializing smoke-free alternatives to cigarettes, including heated tobacco products, e-vapor products, and oral smokeless products, with the goal of completely replacing cigarettes. While we acknowledge the potential of PM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Best 52-Week High Stocks to Buy Now and 10 Best Biotech Stocks to Buy According to Billionaire Steve Cohen. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Otago Daily Times
30-07-2025
- Politics
- Otago Daily Times
Call for inquiry after collusion revealed
Public health researchers across New Zealand are calling for an independent public inquiry after it was revealed New Zealand First has been colluding with international tobacco giants. Initially, public health authorities called on the Prime Minister to show some leadership and remove the tobacco and vaping portfolio from New Zealand First. But now the Public Health Communication Centre Aotearoa (PHCC) wants to go another step further, and have a full investigation into the tobacco industry's influence on public health policy, and it wants the inquiry to report to the Governor-General — not a minister. PHCC member, University of Otago Aspire Aotearoa co-director and public health researcher Prof Janet Hoek said the aim of the inquiry was to strengthen regulation of corporate lobbying, to end tobacco companies' ability to influence public health policy. She said a recent cache of thousands of documents released following lawsuits against American vaping company Juul raised important questions about the influence tobacco and vaping companies have exerted on public health policy in New Zealand. The documents suggested there was evidence New Zealand First had engaged "inappropriately" with tobacco companies. Prof Hoek said the Tobacco Industry Interference Index scored New Zealand highly in 2023, which implied the nation had been able to withstand tobacco industry interference. However, recent analyses now suggested otherwise, and the Juul documents provided further evidence that reinforced these concerns. She said the Juul collection contained market surveys and stakeholder maps that discussed strategic business opportunities within New Zealand. The documents also commented on the politicians or political parties that could enable these opportunities. One of the documents from August 2018 mentioned New Zealand First leader Winston Peters, in his capacity as acting prime minister during prime minister Jacinda Ardern's maternity leave. "[He] randomly criticised how the increases in the tobacco excise tax over the years contributed to the rise in illicit trade in tobacco as well as violence and thefts in 'dairies' ... using talking points from Imperial [Imperial Tobacco New Zealand]," the document said. "This clearly shows that Imperial has worked to solidify its relationship with NZ First." Another document from February 2019 said Philip Morris International had allegedly "given [a] draft piece of regulation to the government's coalition partner New Zealand First", and the party had "undertaken to put that draft into the policy mix. This is supposed to be secret". Another document described Mr Peters as "very powerful. Has a relationship with [Philip Morris International]. Positively disposed. Spoken out against tobacco taxes. Lifetime smoker, now on HEETS [the tobacco sticks used in Philip Morris' IQOS product]. "Any regulation he [Mr Peters] champions is likely to be very industry friendly and highly geared towards commercial interests in the sector." The allegations come after NZ First list MP and Associate Health Minister Casey Costello led the repeal of the Smokefree Environments and Regulated Products (Smoked Tobacco) Amendment Act 2022. It effectively scrapped laws aimed at slashing tobacco retailers, removing 95% of the nicotine from cigarettes and creating a smoke-free generation by banning sales to those born after 2009. Prof Hoek said the documents suggested tobacco companies viewed New Zealand's small market as an opportunity to plant policy proposals and talking points at the highest levels of government. "Aotearoa's reputation for policy-making integrity is at risk unless we investigate these interactions and improve transparency around lobbying. "At a minimum, transparency rules must be strengthened so New Zealanders can clearly see when and how industry voices enter the policy arena. "We owe it to our communities to ensure public health decisions are made in the open, free from the influence of industries that cause health harm." A PHCC briefing said NZ First's responses to these claims raised questions that required further investigation. Last week, Mr Peters said the documents referred to were more than six years old, and the attempt to "attack" NZ First was "old, stale, repetitive and utterly baseless". Prof Hoek said public health advocates supported the call for an independent inquiry. "I think there's actually a real question about integrity of the political process here, and what people want to feel is that politicians are acting in the best interest of the country, not the best interest of the tobacco company," she said.
NZ Herald
28-07-2025
- Business
- NZ Herald
Government extends tax break for Philip Morris heated tobacco products
'This Government has the wrong priorities. It is giving tax breaks to tobacco companies now valued at over $300 million and the evaluation they promised, to check that it was helpful, is a total sham.' Labour's Ayesha Verrall criticised the extension, citing health system strain and a $300 million cost. Photo / Getty Images Costello cut the HTP tax rate by 50% last year, with the aim that cheaper prices may encourage people to switch from cigarettes to HTPs. The cut was made despite health officials telling Costello there was no evidence HTPs worked to stop people smoking or were significantly safer than cigarettes. Costello told Cabinet she had her own 'independent advice', which, when she released it later, turned out to be five articles that were either about different products, outdated, or offered only weak support for her view. Treasury said Philip Morris had a monopoly in the HTP market in New Zealand and would be the main beneficiary of the move. NZ First's Casey Costello is under fire for extending HTP tax cuts for another year, favoring tobacco giant Philip Morris. Photo / Getty Images Costello's office told RNZ the tax cut trial would be extended because Philip Morris had to pull its IQOS device from sale last year, as it did not comply with requirements for vaping devices to have a removable battery. Last week, Costello ditched the requirement for removable batteries, saying Cabinet was advised this was the best way to resolve legal action from Mason Corporation, which owns the Shosha vape store chain. A spokesman for the minister said with HTPs off the market for months last year, the original plan for an evaluation after one year did not make sense. 'There wasn't an evaluation because of the withdrawal of HTPs from the market. Any report back would be meaningless as the cheaper HTPs were only available for two months,' the spokesman said. 'Cabinet agreed to extending the HTP review to July 2027 as there will be more market data available.' The spokesman said the evaluation would then be able to show whether 'a sustained price reduction encouraged uptake by smokers' and if it had helped reduce smoking. The assessment would also look at whether HTP use 'encouraged smokers away from vapes' and the extent of 'unintended uptake by young people'. A March 2025 Ministry of Health (MOH) briefing to Costello, focused on how to evaluate the HTP tax cut, said Philip Morris had not initially passed on the excise reduction to consumers. 'There was no price change passed through to customers for the first month, though this is an observation of value in and of itself,' the MOH said. The briefing, obtained by RNZ under the Official Information Act, said Philip Morris had to pull its IQOS device just three months into the tax cut trial. 'All HTP devices were removed from the market in New Zealand due to not meeting new safety regulations. This has meant there have been no HTP devices available for purchase for at least five months of the 12-month trial period.' Costello has said that HTPs 'have a similar risk profile to vapes', but officials from Treasury and Ministry of Health advised her they were much more harmful than vaping. In its March briefing, the MOH told Costello it would be difficult to assess whether people using HTPs had decreased their harm or not. 'While we will be able to assess whether the percentage of current or recent smokers who use HTPs increases, we will not be able to track whether those same people were previously using, or likely to use vapes, for example, whether they moved from a safer alternate product to a more harmful one.' Verrall said the onus should be on Philip Morris to prove its product was safe. 'There is no reason why the government should be running a study for Philip Morris to help get its products used,' she said. 'This product is not a health product. It is a harmful product.' Verrall said the latest update from the Treasury showed the HTP tax cut was forecast to cost up to $293m if continued until 2029. 'It's deeply worrying when our health system is underfunded that the Government is giving away $300m to the benefit of a single company with links to one of the coalition partners,' Verrall said. The extension of the tax break for the Philip Morris products comes after RNZ published documents alleging a close relationship between NZ First and the tobacco giant. The documents, released in litigation against US vaping company JUUL, allege Philip Morris pitched draft legislation to NZ First as part of a lobbying campaign for its HTPs. The documents claim Philip Morris corporate affairs staff 'reached out to NZ First to try and secure regulation to advantage IQOS'. A lobbying firm advising Juul claimed that NZ First leader Winston Peters had a relationship with Philip Morris and also that 'any regulation he champions is likely to be very industry-friendly and highly geared towards commercial interests in the sector'. Peters did not address the allegations that NZ First received material from Philip Morris, but said RNZ's story was a 'tissue of baseless accusations' and that engagement with the tobacco industry was legitimate. 'Multiple government departments have themselves proactively reached out to, and met with, 'big tobacco' for direct feedback and advice on tobacco legislation,' he said, in a post on X. Health Coalition Aotearoa and Vape-Free Kids want Prime Minister Christopher Luxon to strip NZ First of the tobacco and vaping portfolio but he says Costello is doing a great job.
