Andre Calantzopoulos, Chairman of Philip Morris International Inc. (NYSE:PM), recently sold a substantial portion of his holdings in the company. According to a recent SEC filing, Calantzopoulos sold 101,918 shares of common stock on October 23, 2024, at an average price of $129.85 per share. This transaction amounted to a total value of approximately $13.2 million. Following this sale, he now holds 959,761 shares directly. The shares were sold in multiple transactions, with prices ranging from $129.03 to $130.46.
In other recent news, Philip Morris International Inc. reported a strong performance in its third-quarter earnings, driven by substantial organic revenue growth and a notable increase in adjusted diluted earnings per share (EPS). The company's success is attributed to solid sales of its smoke-free products, IQOS and ZYN, and growth in the combustibles segment. They reported an 11.6% organic revenue growth and an 18.0% currency-neutral increase in adjusted diluted EPS. IQOS volumes grew by 15% year-on-year, while ZYN shipments in the U.S. saw over 40% growth.
Philip Morris raised its full-year guidance, projecting a 2%-3% volume growth, 9.5% organic net revenue growth, and 14%-15% adjusted diluted EPS growth. Despite potential challenges from shipment mix and supply constraints, the company expects continued robust growth for Q4. They are confident in the sustainable demand for smoke-free alternatives and aim to capture over 50% market share in low and middle-income countries.
However, a proposed settlement for Canadian litigation could significantly impact financials, with an estimated $23.5 billion settlement. Despite these challenges, Philip Morris's overall trajectory remains positive, backed by its confidence in the structural demand for smoke-free alternatives. These are among the recent developments for Philip Morris International Inc.
InvestingPro Insights
While Andre Calantzopoulos's recent sale of Philip Morris International Inc. (NYSE:PM) shares might raise eyebrows, a closer look at the company's financials and market performance reveals a more nuanced picture. According to InvestingPro data, PM's stock has shown remarkable strength, with a 55.32% price total return over the past year and a 41.57% return in the last six months. This robust performance aligns with an InvestingPro Tip indicating that PM is trading near its 52-week high, suggesting strong investor confidence despite the insider sale.
The company's financial health appears solid, with a market capitalization of $206.48 billion and an impressive gross profit margin of 64.12% for the last twelve months as of Q3 2024. This aligns with another InvestingPro Tip highlighting PM's impressive gross profit margins. Additionally, PM boasts a dividend yield of 4.07%, with an InvestingPro Tip noting that the company has raised its dividend for 16 consecutive years, demonstrating a commitment to shareholder returns.
It's worth noting that PM's P/E ratio stands at 20.7, which may be considered reasonable given its growth prospects and industry position. The company's revenue growth of 8.58% in the last twelve months also indicates ongoing business expansion.
For investors seeking a more comprehensive analysis, InvestingPro offers 16 additional tips on Philip Morris International, providing deeper insights into the company's financial health and market position.
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