Summary RICHMOND, Virginia -- Philip Morris International Inc. gave CEO Andre Calantzopoulos a pay package valued at about $10.9 million for fiscal 2013. Shipments fell 5 percent to 880.2 billion cigarettes. The AP's calculation counts salary, bonuses, perks and stock and options awarded to the executive during the year.
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Summary Philip Morris International, the world's largest tobacco company and maker of Marlboro cigarettes, is prepared to sue the British government if it implements a law requiring plain packaging of cigarettes. The UK government's Department of Health carried out a consultation exercise on potential legislation that would force cigarette makers to sell their products in plain packages with graphic health warnings and no branding. Reacting to the consultation, Philip Morris said it "is prepared to protect its rights in the courts and to seek fair compensation for the value of its property."
Summary The tobacco industry has been a very profitable space for investors over the long run, and shareholders in Philip Morris International (NYSE: PM ) have been quite pleased with the international tobacco giant's results since its spinoff from former parent Altria Group (NYSE: MO ) in early 2008. Let's take a closer look at Philip Morris International to see what prospects the stock has in the immediate future and over the long run. One of the purposes of Philip Morris International's spinoff was to give investors a chance to cash in on what was perceived as greater growth potential from the international tobacco market.
Summary The International Tobacco Control Policy Evaluation Project (the ITC Project) has launched a new report on the effectiveness of tobacco control policies in Uruguay, a country currently the target of litigation by Philip Morris International (PMI). In addition, Uruguay's Government increased the size of pictorial warning labels from 50 percent to 80 percent of the front and back of cigarette packs, implemented highly graphic warnings on the health effects of smoking, and introduced a ban on multiple brand presentations. In between the third and fourth waves of the Survey, the government introduced a new round of images to warn smokers of the dangers of tobacco.
Summary In trading on Friday, shares of Philip Morris International Inc (Symbol: PM) crossed below their 200 day moving average of $84.38, changing hands as low as $84.20 per share. Looking at the chart above, PM's low point in its 52 week range is $75.28 per share, with $91.81 as the 52 week high point - that compares with a last trade of $84.34. According to the ETF Finder at ETF Channel, PM makes up 8.03% of the Consumer Staples Select Sector SPDR Fund ETF (Symbol: XLP) which is trading lower by about 0.2% on the day Friday.
Summary Because the company hasn't grown earnings per share significantly in the past two years, Philip Morris International's stock trades at a fair valuation. Philip Morris International seems like the dividend stock to buy in 2014 because, unlike many of its peers in the dividend growth universe, the shares are not pricey. This is because of the stalling earnings growth during the past two years, and is the explanation for why the stock currently offers a fair deal to shareholders.
Summary Due to healthy free cash flow generation and EPS growth, PM can comfortably support 8% dividend per share growth over the next few years. To illustrate the undervaluation, I used a 2-stage dividend discount model to calculate PM's fair value. The first stage assumes 8% annual growth in dividend per share through Q3 2016, and the second stage represents perpetual growth state, with the growth rate of 5.3% implied by the share price.
Summary Recently, investors in Philip Morris International (NYSE: PM ) have had to deal with some difficult times, as prospects for the global tobacco industry have looked a lot less certain than they did in years past. Yet that hasn't been the case, and the trend seems to be toward more regulation. In the earnings report, Philip Morris said that discounting and consumer behavior would hit sales in Australia hard, and the result could be less growth in currency-neutral earnings per share than the company had expected.
Summary Philip Morris International Inc. (PMI) is the leading international tobacco company, with seven of the world's top 15 international brands, including Marlboro, the number one cigarette brand worldwide. PMI's products are sold in more than 180 markets. In 2013, the company held an estimated 15.7% share of the total international cigarette market outside of the U.S., or 28.3% excluding the People's Republic of China and the U.S. For more information, see www.pmi.com.
Summary For tobacco-industry investors, Philip Morris International (NYSE: PM ) has long held the promise of worldwide growth in cigarette demand as a larger consumer class in emerging-market nations gains enough disposable income to afford the smoking habit. Asia has been the thorn in Philip Morris International's side, with Japan in particular suffering from new consumption taxes that helped create a huge 16% drop in shipment volumes for Philip Morris. The company's market share rebounded somewhat in the second quarter, though, and Philip Morris expects more progress on that front.