PHILIP MORRIS INTERNATIONAL (1PM.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1PM - US7181721090 - Common Stock
131.58 EUR
+2.36 (+1.83%)
Overall 1PM gets a fundamental rating of 4 out of 10. We evaluated 1PM against 4 industry peers in the Tobacco industry. There are concerns on the financial health of 1PM while its profitability can be described as average. 1PM is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
1PM had positive earnings in the past year.
1PM had a positive operating cash flow in the past year.
In the past 5 years 1PM has always been profitable.
Each year in the past 5 years 1PM had a positive operating cash flow.
1.2 Ratios
1PM's Return On Assets of 11.98% is in line compared to the rest of the industry. 1PM outperforms 60.00% of its industry peers.
1PM's Return On Invested Capital of 25.78% is in line compared to the rest of the industry. 1PM outperforms 60.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1PM is above the industry average of 20.94%.
The 3 year average ROIC (25.07%) for 1PM is below the current ROIC(25.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.98% | ||
| ROE | N/A | ||
| ROIC | 25.78% |
ROA(3y)12.65%
ROA(5y)15.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)25.07%
ROIC(5y)31.2%
1.3 Margins
The Profit Margin of 1PM (21.01%) is comparable to the rest of the industry.
1PM's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 37.03%, 1PM is in line with its industry, outperforming 60.00% of the companies in the same industry.
In the last couple of years the Operating Margin of 1PM has remained more or less at the same level.
1PM has a Gross Margin (66.44%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of 1PM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.03% | ||
| PM (TTM) | 21.01% | ||
| GM | 66.44% |
OM growth 3Y-4.61%
OM growth 5Y-0.93%
PM growth 3Y-13.73%
PM growth 5Y-5.04%
GM growth 3Y-1.62%
GM growth 5Y0.03%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1PM is creating value.
1PM has about the same amout of shares outstanding than it did 1 year ago.
1PM has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1PM has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.67 indicates that 1PM is not in any danger for bankruptcy at the moment.
1PM has a Altman-Z score of 3.67. This is in the better half of the industry: 1PM outperforms 80.00% of its industry peers.
The Debt to FCF ratio of 1PM is 5.72, which is a neutral value as it means it would take 1PM, 5.72 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 1PM (5.72) is worse than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 5.73 | ||
| Altman-Z | 3.67 |
ROIC/WACC2.93
WACC8.79%
2.3 Liquidity
1PM has a Current Ratio of 0.83. This is a bad value and indicates that 1PM is not financially healthy enough and could expect problems in meeting its short term obligations.
1PM has a Current ratio of 0.83. This is comparable to the rest of the industry: 1PM outperforms 60.00% of its industry peers.
A Quick Ratio of 0.45 indicates that 1PM may have some problems paying its short term obligations.
1PM has a Quick ratio of 0.45. This is comparable to the rest of the industry: 1PM outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
1PM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.19%, which is quite good.
1PM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.72% yearly.
The Revenue has been growing slightly by 7.45% in the past year.
The Revenue has been growing slightly by 4.91% on average over the past years.
EPS 1Y (TTM)16.19%
EPS 3Y2.57%
EPS 5Y4.72%
EPS Q2Q%17.28%
Revenue 1Y (TTM)7.45%
Revenue growth 3Y6.45%
Revenue growth 5Y4.91%
Sales Q2Q%9.42%
3.2 Future
The Earnings Per Share is expected to grow by 11.93% on average over the next years. This is quite good.
Based on estimates for the next years, 1PM will show a quite strong growth in Revenue. The Revenue will grow by 8.73% on average per year.
EPS Next Y18.43%
EPS Next 2Y14.67%
EPS Next 3Y12.92%
EPS Next 5Y11.93%
Revenue Next Year8.82%
Revenue Next 2Y8.56%
Revenue Next 3Y7.98%
Revenue Next 5Y8.73%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.56, 1PM is valued on the expensive side.
1PM's Price/Earnings ratio is rather expensive when compared to the industry. 1PM is more expensive than 80.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1PM to the average of the S&P500 Index (26.54), we can say 1PM is valued slightly cheaper.
The Price/Forward Earnings ratio is 17.65, which indicates a rather expensive current valuation of 1PM.
80.00% of the companies in the same industry are cheaper than 1PM, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.78. 1PM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.56 | ||
| Fwd PE | 17.65 |
4.2 Price Multiples
1PM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1PM is more expensive than 60.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, 1PM is valued expensively inside the industry as 80.00% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.33 | ||
| EV/EBITDA | 17.35 |
4.3 Compensation for Growth
1PM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1PM's earnings are expected to grow with 12.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.12
PEG (5Y)4.35
EPS Next 2Y14.67%
EPS Next 3Y12.92%
5. Dividend
5.1 Amount
1PM has a Yearly Dividend Yield of 4.03%, which is a nice return.
1PM's Dividend Yield is slightly below the industry average, which is at 5.38.
1PM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.96.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
5.2 History
The dividend of 1PM has a limited annual growth rate of 2.76%.
Dividend Growth(5Y)2.76%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
101.82% of the earnings are spent on dividend by 1PM. This is not a sustainable payout ratio.
The dividend of 1PM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP101.82%
EPS Next 2Y14.67%
EPS Next 3Y12.92%
BIT:1PM (11/24/2025, 7:00:00 PM)
131.58
+2.36 (+1.83%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners81.82%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner ChangeN/A
Market Cap204.82B
Revenue(TTM)39.99B
Net Income(TTM)8.21B
Analysts81.54
Price Target160.3 (21.83%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
Yearly Dividend4.57
Dividend Growth(5Y)2.76%
DP101.82%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.77%
Min EPS beat(2)-0.19%
Max EPS beat(2)1.72%
EPS beat(4)3
Avg EPS beat(4)0.94%
Min EPS beat(4)-0.19%
Max EPS beat(4)1.78%
EPS beat(8)5
Avg EPS beat(8)-0.35%
EPS beat(12)8
Avg EPS beat(12)1.72%
EPS beat(16)10
Avg EPS beat(16)2.13%
Revenue beat(2)0
Avg Revenue beat(2)-2.88%
Min Revenue beat(2)-4.73%
Max Revenue beat(2)-1.03%
Revenue beat(4)0
Avg Revenue beat(4)-1.65%
Min Revenue beat(4)-4.73%
Max Revenue beat(4)-0.13%
Revenue beat(8)2
Avg Revenue beat(8)-1.43%
Revenue beat(12)5
Avg Revenue beat(12)-0.23%
Revenue beat(16)8
Avg Revenue beat(16)0.78%
PT rev (1m)-1.03%
PT rev (3m)-0.79%
EPS NQ rev (1m)-0.17%
EPS NQ rev (3m)-1.44%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)0.75%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-0.69%
Revenue NY rev (1m)-0.15%
Revenue NY rev (3m)-0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.56 | ||
| Fwd PE | 17.65 | ||
| P/S | 6.06 | ||
| P/FCF | 26.33 | ||
| P/OCF | 22.74 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.35 |
EPS(TTM)6.4
EY4.86%
EPS(NY)7.45
Fwd EY5.67%
FCF(TTM)5
FCFY3.8%
OCF(TTM)5.79
OCFY4.4%
SpS21.72
BVpS-6.65
TBVpS-22.56
PEG (NY)1.12
PEG (5Y)4.35
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.98% | ||
| ROE | N/A | ||
| ROCE | 35.84% | ||
| ROIC | 25.78% | ||
| ROICexc | 28.53% | ||
| ROICexgc | 108.91% | ||
| OM | 37.03% | ||
| PM (TTM) | 21.01% | ||
| GM | 66.44% | ||
| FCFM | 23.01% |
ROA(3y)12.65%
ROA(5y)15.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)25.07%
ROIC(5y)31.2%
ROICexc(3y)27.51%
ROICexc(5y)37.8%
ROICexgc(3y)111.48%
ROICexgc(5y)109.03%
ROCE(3y)35.09%
ROCE(5y)42.41%
ROICexgc growth 3Y8.03%
ROICexgc growth 5Y11.03%
ROICexc growth 3Y-18.85%
ROICexc growth 5Y-9.39%
OM growth 3Y-4.61%
OM growth 5Y-0.93%
PM growth 3Y-13.73%
PM growth 5Y-5.04%
GM growth 3Y-1.62%
GM growth 5Y0.03%
F-Score6
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 5.73 | ||
| Debt/EBITDA | 2.74 | ||
| Cap/Depr | 72.85% | ||
| Cap/Sales | 3.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.41% | ||
| Profit Quality | 109.54% | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 3.67 |
F-Score6
WACC8.79%
ROIC/WACC2.93
Cap/Depr(3y)88.63%
Cap/Depr(5y)80.44%
Cap/Sales(3y)3.65%
Cap/Sales(5y)3.09%
Profit Quality(3y)120.71%
Profit Quality(5y)120.05%
High Growth Momentum
Growth
EPS 1Y (TTM)16.19%
EPS 3Y2.57%
EPS 5Y4.72%
EPS Q2Q%17.28%
EPS Next Y18.43%
EPS Next 2Y14.67%
EPS Next 3Y12.92%
EPS Next 5Y11.93%
Revenue 1Y (TTM)7.45%
Revenue growth 3Y6.45%
Revenue growth 5Y4.91%
Sales Q2Q%9.42%
Revenue Next Year8.82%
Revenue Next 2Y8.56%
Revenue Next 3Y7.98%
Revenue Next 5Y8.73%
EBIT growth 1Y5.89%
EBIT growth 3Y1.54%
EBIT growth 5Y3.93%
EBIT Next Year23.23%
EBIT Next 3Y13.83%
EBIT Next 5Y11.91%
FCF growth 1Y21.31%
FCF growth 3Y-1.34%
FCF growth 5Y3.12%
OCF growth 1Y20.33%
OCF growth 3Y0.69%
OCF growth 5Y3.9%
PHILIP MORRIS INTERNATIONAL / 1PM.MI FAQ
Can you provide the ChartMill fundamental rating for PHILIP MORRIS INTERNATIONAL?
ChartMill assigns a fundamental rating of 4 / 10 to 1PM.MI.
Can you provide the valuation status for PHILIP MORRIS INTERNATIONAL?
ChartMill assigns a valuation rating of 2 / 10 to PHILIP MORRIS INTERNATIONAL (1PM.MI). This can be considered as Overvalued.
What is the profitability of 1PM stock?
PHILIP MORRIS INTERNATIONAL (1PM.MI) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for 1PM stock?
The Price/Earnings (PE) ratio for PHILIP MORRIS INTERNATIONAL (1PM.MI) is 20.56 and the Price/Book (PB) ratio is -19.78.
How financially healthy is PHILIP MORRIS INTERNATIONAL?
The financial health rating of PHILIP MORRIS INTERNATIONAL (1PM.MI) is 2 / 10.