NEW YORK (TheStreet) -- Phillip Morris (PM) shares are down 2.9% to $82.35 in trading on Thursday following a disappointing first quarter earnings report.
Net income for the tobacco company fell 12% to $1.88 billion, or $1.18 per share, from $2.13 billion, or $1.28 per share.
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Excluding excise taxes, revenue fell nearly 9% to $6.9 billion, falling short of analysts expected revenue of $7.01 billion.
Shipments to Eastern Europe, Africa and the Middle East fell more than 7% while shipments to Central America and Canada were down almost 5%.
TheStreet Ratings team rates PHILIP MORRIS INTERNATIONAL as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate PHILIP MORRIS INTERNATIONAL (PM) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its expanding profit margins and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and deteriorating net income."
Highlights from the analysis by TheStreet Ratings Team goes as follows: