Phillip Morris International
) is slated to release its first quarter 2012 results before the
opening bell on April 19, 2012. The Zacks Consensus Estimate for
the fourth quarter is pegged at $1.19 (year-over-year growth of
12.18%) on revenues of $7,210.0 million.
The Zacks Consensus Estimate for the fiscal year 2012 is $5.30
(year-over-year growth of 8.59%) on revenues of $30,648
Fourth Quarter and Fiscal 2011 Recap
Cigarette manufacturer and marketer Philip Morris International
Inc. reported adjusted fourth quarter 2011 earnings per share of
$1.10, surpassing the year-ago earnings by 13.4% and the Zacks
Consensus Estimate by 1.85%.
For fiscal 2011, Philip Morris posted adjusted earnings of $4.88
per share, which was 26.1% higher than $3.87 per share earnings
posted a year ago. The fiscal 2011 earnings also beat the Zacks
Estimate by 3 cents.
The whole story can be found at
Philip Morris Ahead of Estimates
Agreement of Estimate Revisions
Over the past 30 days, one analyst among the 11 analysts
covering Philip Morris revised its estimate downward. However
quarterly estimate did not change during the period.
For the fiscal 2012, 3 out of 14 analysts covering the stock
revised their estimates downward for the last 30 days; the
quarterly estimate dropped by 1 cent during the period.
Philip Morris has surpassed Zacks earnings estimates in all the
last four quarters. The earnings surprise range from a low
of 1.85% to a high of 11.38%, with the average earnings
surprise being 6.47%.
We feel that the cigarette manufacturer along with its peers in
the industry is facing tough times on the back of laws relating to
plain packaging and bans on promotional activities for these
However, the company exceeded the Zacks Consensus Estimate in
its fourth quarter earnings results on the back of strong pricing,
productivity saving and strong performance of the company's top
brands in Europe and Asia. Moreover, Philip Morris is facing a
favorable excise tax scenario as many governments like the European
Union are taking a softer stance for tobacco companies.
The main brand of the company, Marlboro, is expected to gain
share in the market as the price gap between premium and ordinary
cigarettes are narrowing due to higher minimum excise tax. The
non-combustible, less harmful substitutes of tobacco innovated by
the company are expected to generate substantial revenue in the
Management continues to enhance shareholder value through share
repurchases and dividends. During the third quarter, the company
increased its regular quarterly dividend by 20.3%.
Currently, we have a Neutral recommendation on the stock.
Further, Philip Morris holds the Zacks #4 Rank, which translates
into a short-term Sell rating.
PHILIP MORRIS (
): Free Stock Analysis Report
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