Philip Morris International stock reaches all-time high with strong earnings, driven by Zyn and IQOS

From Yahoo Finance: 2025-04-27 18:24:00

Philip Morris International (NYSE: PM) shares hit an all-time high after strong earnings, up nearly 40% in 2025 and 75% in the past year. The company’s growth driver, Zyn, saw U.S. shipment volumes soar 53% in Q1. Heated tobacco units (HTUs) also increased nearly 12%. Traditional cigarette volumes rose 1.1%.

In Q1, Zyn’s U.S. shipment volumes soared 53% to 202 million cans, with international volumes rising 53%. Overall oral product shipments climbed 27%. Gross profits grew 16%, with higher margins for Zyn and IQOS. Philip Morris maintained its full-year outlook, adjusting EPS forecast slightly due to currency.

Philip Morris’ organic revenue rose 10% to $9.3 billion in Q1, with adjusted EPS climbing 17% to $1.76. The company remains a growth stock with Zyn and IQOS leading the way. Valued at a forward P/E ratio of 23 times, the stock is considered undervalued with a PEG ratio under 0.4.

Looking ahead, Philip Morris expects organic revenue growth of 6-8% and adjusted EPS of $7.01 to $7.14 for the year. The company continues to see strong growth from Zyn and IQOS, with expansion opportunities ahead. Investors can still consider buying the stock, especially on future dips.

Read more: Philip Morris International Stock Surges to New All-Time High. Is It Too Late to Buy the Stock?