Stifel has increased its price target for Philip Morris (PM, Financial) from $168 to $186, maintaining a Buy rating on the company's shares. This decision comes after a particularly strong first quarter for the tobacco giant, which continues to display significant business momentum.
The analyst highlighted several key factors underpinning this positive outlook. Philip Morris benefits from robust pricing power, significant advances in its smoke-free product division, and overall volume growth. These elements have contributed to a promising start to the year and are expected to propel sustained growth.
Furthermore, the company has reaffirmed its underlying guidance for 2025, signaling confidence in its strategic direction. This combination of pricing advantages, innovation in smoke-free products, and growth in sales volume is viewed as providing a solid foundation for further progress well beyond 2025.
