2024-07-26 12:00:00 ET
Summary
- PM continues to demonstrate why it is the best of breed tobacco stock, thanks to its growing combustible sales volume and the Smoke-Free approaches already accretive to its top/ bottom-lines.
- Our previous ZYN thesis has also played out as expected, attributed to the double digit YoY growth in its nicotine pouch sale volume globally in FQ2'24.
- With the management already guiding higher US nicotine pouch sales volume and capex in 2024, ZYN may remain a growth driver moving forward, thanks to the Swedish Match acquisition.
- Based on the robust FQ2'24 adj EPS growth and raised FY2024 guidance in 2024, we believe that the consensus forward estimates appear to be rather conservative now.
- With more upgrades in the horizon and PM's dividend yields still rich, it continues to offer a compelling growth/ dividend investment thesis for opportunistic investors.
We previously covered Philip Morris (NYSE: PM ) in May 2024, discussing why it remained a Buy for investors looking to buy the best of breed tobacco stock, with the Smoke-Free approaches already accretive to its top/ bottom-lines and long-term growth opportunities....
Read the full article on Seeking Alpha
For further details see:
Philip Morris: Double-Digit Upside Still Possible - Thanks To Robust Tobacco Monetization