Philip Morris initiated with an Overweight at Morgan Stanley

Morgan Stanley analyst Eric Serotta initiated coverage of Philip Morris (PM) with an Overweight rating and $140 price target The company is likely to deliver the strongest currency neutral growth among its mega-cap peers, which is not reflected in the stock’s valuation, driven by its smoke-free portfolio, the analyst tells investors in a research note. The firm sees a “substantial runway” for Philip Morris’ smoke-free portfolio driven by IQOS internationally, robust growth for Zyn, and the U.S. launch of IQOS.