Philip Morris (PM) stock soared higher today after posting its earnings report for Q4 2024. The tobacco company’s adjusted earnings per share of $1.55 beat Wall Street’s estimate of $1.50. It’s also a 14% increase year-over-year from Philip Morris’ adjusted earnings of $1.36 per share. The company’s revenue of $9.7 billion also surpassed analysts’ estimate of $9.44 billion while rising 7.3% from $8.96 billion in Q4 2023.
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Philip Morris CEO Jacek Olczak noted the strong performance in Q4 2024 came from “continued growth of IQOS and ZYN in addition to a robust combustibles performance.” He also said the company’s “smoke-free transformation and unparalleled brand portfolio” will “create value for our shareholders in 2025.”
Investors were impressed by Philip Morris’ Q4 performance, boosting the company’s shares 8.68% in pre-market trading today. That builds on a year-to-date increase of 8.83% and its 52-week rally of 50.41%.
PM Stock 2025 Guidance
Philip Morris included its outlook for 2025 in its most recent earnings report. The company expects revenue for the year to range from $7.04 to $7.17, representing year-over-year growth of 7.2% to 9.1%. This would also see it beat Wall Street’s adjusted EPS estimate of $7 for 2025.
Philip Morris’ guidance includes Q1 2025 adjusted EPS between $1.58 and $1.63. The company is likely to at least match Wall Street’s adjusted EPS estimate of $1.61.
Is PM Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Philip Morris is Moderate Buy based on three Buy, one Hold, and one Sell ratings over the last three years. With this comes an average price target of $135.60, a high of $145, and a low of $105. This represents a potential 3.53%% upside for PM stock. These ratings and price targets will likely change as analysts update their coverage of the company after its earnings report.
