
Philip Morris (PM) Stock Slides as Q2 Results Miss Expectations
NEW YORK (TheStreet) -- Shares of Philip Morris Int'l (PM) - Get Report are slipping 3.55% to $99.34 on Tuesday morning after the company reported weaker-than-expected results for the 2016 second quarter.
Before today's market open, the New York-based cigarette company posted earnings of $1.15 per diluted share, below analysts' projections of $1.20 per share.
The parent company of Marlboro said revenue excluding excise taxes was $6.65 billion, which missed analysts' estimates of $6.77 billion.
Cigarette volume slumped 4.8% to 209.3 billion units during the period.
Shipment volume dropped 5.9% in Latin America and Canada, was down 7.9% in Asia and declined 4% in the Eastern Europe, Middle East and Africa segment. Volume also fell 0.8% in the European Union, the Wall Street Journal noted.
Shipments of Marlboro fell 3.1%, but shipments of its second-biggest brand L&M increased 0.3%.
Additionally, Philip Morris said currency headwinds were easing and boosted its 2016 earnings per share outlook to $4.45 to $4.55 vs. its previous view of $4.40 to $4.50 per share.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C+ on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, expanding profit margins and solid stock price performance.
But the team also finds weaknesses including deteriorating net income and feeble growth in the company's earnings per share.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: PM










