Philip Morris Projects 12% EPS Growth, Trades at 20X Forward Earnings

PMPM

Philip Morris International yields 3.46%, topping the S&P 500’s 1.11% average and consumer staples’ 3.14% average, backed by over $4 billion cash on its balance sheet. The stock has returned over 100% in three years, trades at 20-times forward earnings, and projects FY26 EPS growth of 12%.

1. Dividend Profile

Philip Morris International maintains a 3.46% annual dividend yield, surpassing the S&P 500’s 1.11% and consumer staples’ 3.14% averages, supported by more than $4 billion in cash on its balance sheet.

2. Shareholder Returns

Including dividends, the stock has delivered over 100% total return in the past three years, outpacing the benchmark S&P 500 and the consumer staples sector’s 12% gain over the same period.

3. Growth Outlook

Revenue is forecast to rise 8% in fiscal 2026 and 7% in fiscal 2027 to $47.14 billion, while EPS is projected to increase 12% to $8.45 in FY26 and another 9% to $9.27 in FY27.

4. Valuation Metrics

Philip Morris shares trade at 20 times forward earnings, below the S&P 500 benchmark of 22 times, indicating a valuation discount relative to the broader market.

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