Nicotine Is Hot, Beer Is Not. What Vice Stocks Say About America’s Guilty Pleasures.
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 08 2025
0mins
Source: WSJ
Altria's Performance: Altria, the maker of Marlboro cigarettes and on! nicotine pouches, has seen its stock price increase by over 21% this year.
Molson Coors' Decline: In contrast, Molson Coors, known for brands like Miller Lite and Blue Moon, has experienced a decline in stock prices, dropping more than 13%.
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Analyst Views on PM
Wall Street analysts forecast PM stock price to rise
11 Analyst Rating
8 Buy
3 Hold
0 Sell
Moderate Buy
Current: 179.040
Low
175.00
Averages
191.95
High
210.00
Current: 179.040
Low
175.00
Averages
191.95
High
210.00
About PM
Philip Morris International Inc. is an international tobacco company. The Company’s product portfolio primarily consists of cigarettes and smoke-free products. Its smoke-free business (SFB) also includes wellness and healthcare products, as well as consumer accessories, such as lighters and matches. The Company’s segments include Europe Region; South and Southeast Asia, Commonwealth of Independent States, Middle East and Africa Region (SSEA, CIS & MEA); East Asia, Australia & PMI Global Travel Retail (EA, AU & PMI GTR), and Americas Region. The Company's brands include Marlboro, HEETS, IQOS, IQOS ILUMA, TEREA, VEEV and ZYN. Its IQOS smoke-free product brand portfolio includes heated tobacco and nicotine-containing vapor products. Its international cigarette brands are Chesterfield, L&M, and Philip Morris. It also owns a number of local cigarette brands, such as Dji Sam Soe and Sampoerna A in Indonesia, and Fortune and Jackpot in the Philippines.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Analysts Show Growing Optimism for High-Growth Tech Stocks
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- PLTR Rating Increase: Danil Sereda upgraded Palantir from Hold to Buy, citing a remarkable 70% year-over-year revenue growth in Q4, and believes that its model-agnostic AI platform presents a unique buying opportunity, particularly with deeper integration into Department of Defense workflows.
- Vistra Downgrade: Blake Winiecki downgraded Vistra to Hold, noting that despite securing long-term nuclear power agreements with AWS and Meta, its current PE ratio of 76x and price-to-book ratio of 21x are significantly above peers, warranting a cautious outlook until earnings growth and cost management improve.
- PM Rating Adjustment: Bela Lakos downgraded Philip Morris from Buy to Hold, as the stock has appreciated 15% in two months, now trading above fair value estimates, leading analysts to conclude that there is limited upside potential from the current price level.
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Philip Morris Declares Quarterly Dividend of $1.47
- Quarterly Dividend Announcement: Philip Morris has declared a quarterly dividend of $1.47 per share, consistent with previous distributions, indicating the company's stable cash flow and profitability, which is likely to attract more investors seeking reliable income.
- Dividend Yield: The forward yield of 3.28% reflects the company's appeal in the current market environment, potentially increasing investor interest in its stock, especially amid rising interest rates.
- Shareholder Record Date: The dividend will be payable on April 13, with a record date of March 19 and an ex-dividend date also on March 19, providing investors with a clear timeline for their investment decisions.
- Market Reaction Expectations: Although the dividend remains unchanged, the market maintains a cautious stance on Philip Morris's overall valuation, with analysts noting that while the company is performing well, its stock price may already fully reflect its dividend potential.
See More
PMI U.S. CONTRIBUTES TO COMMUNITIES WITH $150,000 GRANT FOR CALIFORNIA ASIAN PACIFIC CHAMBER OF COMMERCE
- Investment Announcement: PMIU has announced a $150,000 grant aimed at supporting community initiatives in California.
- Focus on Asian Pacific Communities: The funding is specifically directed towards the California Asian Pacific Chamber of Commerce to enhance community engagement and support.
See More
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Market Concerns: The markets are experiencing a downturn due to escalating fears of a prolonged conflict in Iran.
Oil Price Impact: Investors are worried that rising oil prices could negatively affect the global economy and reignite inflation fears.
AI Trade Vulnerability: The situation poses particular challenges for the previously thriving artificial intelligence sector.
Investment Climate: Overall, it is becoming increasingly difficult for investors to find safe investment opportunities amid these uncertainties.
See More
Blue Chip Dividend Stocks Regain Appeal Amid Rate Cuts
- Rate Cut Impact: The Federal Reserve's six consecutive rate cuts in 2024 and 2025 have drawn income-seeking investors back to blue chip stocks, particularly as geopolitical tensions rise, enhancing their appeal in turbulent markets.
- AT&T Restructuring: By divesting assets like DirecTV and Time Warner, AT&T has successfully freed up cash flow, generating $16.6 billion in free cash flow in 2025, comfortably covering $12 billion in dividends and buybacks, with adjusted EBITDA expected to grow at a 4% CAGR from 2025 to 2028.
- Philip Morris Transformation: Despite declining smoking rates globally, Philip Morris has raised cigarette prices and expanded its smoke-free product portfolio, achieving a 14% organic revenue increase in smoke-free products in 2025, which now accounts for nearly 43% of total revenue, indicating its viability as a long-term investment.
- Optimistic Market Outlook: Analysts project Philip Morris's EPS to grow at a steady 9% CAGR from 2025 to 2028, driven by new products like iQOS and Zyn, and despite exposure to international conflicts, its stock remains a solid defensive investment.
See More
PMI Increases in February, Signifying Second Consecutive Month of Growth in U.S. Manufacturing
- U.S. Manufacturing Growth: The U.S. manufacturing sector reported a second consecutive month of growth, providing positive news for investors.
- Investor Sentiment: This growth in manufacturing is likely to boost investor confidence in the economy.
See More
Analysts Show Growing Optimism for High-Growth Tech Stocks
- AMD Upgrade: Analyst Oliver Rodzianko upgraded AMD to Buy, highlighting its leadership in the AI-driven compute market, with Q1 FY26 revenue guidance of approximately $9.8 billion, reflecting a 32% year-over-year growth, which is likely to sustain or enhance current market sentiment regarding its medium-term growth prospects.
- PLTR Rating Increase: Danil Sereda upgraded Palantir from Hold to Buy, citing a remarkable 70% year-over-year revenue growth in Q4, and believes that its model-agnostic AI platform presents a unique buying opportunity, particularly with deeper integration into Department of Defense workflows.
- Vistra Downgrade: Blake Winiecki downgraded Vistra to Hold, noting that despite securing long-term nuclear power agreements with AWS and Meta, its current PE ratio of 76x and price-to-book ratio of 21x are significantly above peers, warranting a cautious outlook until earnings growth and cost management improve.
- PM Rating Adjustment: Bela Lakos downgraded Philip Morris from Buy to Hold, as the stock has appreciated 15% in two months, now trading above fair value estimates, leading analysts to conclude that there is limited upside potential from the current price level.
See More
Philip Morris Declares Quarterly Dividend of $1.47
- Quarterly Dividend Announcement: Philip Morris has declared a quarterly dividend of $1.47 per share, consistent with previous distributions, indicating the company's stable cash flow and profitability, which is likely to attract more investors seeking reliable income.
- Dividend Yield: The forward yield of 3.28% reflects the company's appeal in the current market environment, potentially increasing investor interest in its stock, especially amid rising interest rates.
- Shareholder Record Date: The dividend will be payable on April 13, with a record date of March 19 and an ex-dividend date also on March 19, providing investors with a clear timeline for their investment decisions.
- Market Reaction Expectations: Although the dividend remains unchanged, the market maintains a cautious stance on Philip Morris's overall valuation, with analysts noting that while the company is performing well, its stock price may already fully reflect its dividend potential.
See More
PMI U.S. CONTRIBUTES TO COMMUNITIES WITH $150,000 GRANT FOR CALIFORNIA ASIAN PACIFIC CHAMBER OF COMMERCE
- Investment Announcement: PMIU has announced a $150,000 grant aimed at supporting community initiatives in California.
- Focus on Asian Pacific Communities: The funding is specifically directed towards the California Asian Pacific Chamber of Commerce to enhance community engagement and support.
See More
Strategies for Navigating a Volatile Market Amid Rising Oil Prices and Falling Stocks
Market Concerns: The markets are experiencing a downturn due to escalating fears of a prolonged conflict in Iran.
Oil Price Impact: Investors are worried that rising oil prices could negatively affect the global economy and reignite inflation fears.
AI Trade Vulnerability: The situation poses particular challenges for the previously thriving artificial intelligence sector.
Investment Climate: Overall, it is becoming increasingly difficult for investors to find safe investment opportunities amid these uncertainties.
See More
Blue Chip Dividend Stocks Regain Appeal Amid Rate Cuts
- Rate Cut Impact: The Federal Reserve's six consecutive rate cuts in 2024 and 2025 have drawn income-seeking investors back to blue chip stocks, particularly as geopolitical tensions rise, enhancing their appeal in turbulent markets.
- AT&T Restructuring: By divesting assets like DirecTV and Time Warner, AT&T has successfully freed up cash flow, generating $16.6 billion in free cash flow in 2025, comfortably covering $12 billion in dividends and buybacks, with adjusted EBITDA expected to grow at a 4% CAGR from 2025 to 2028.
- Philip Morris Transformation: Despite declining smoking rates globally, Philip Morris has raised cigarette prices and expanded its smoke-free product portfolio, achieving a 14% organic revenue increase in smoke-free products in 2025, which now accounts for nearly 43% of total revenue, indicating its viability as a long-term investment.
- Optimistic Market Outlook: Analysts project Philip Morris's EPS to grow at a steady 9% CAGR from 2025 to 2028, driven by new products like iQOS and Zyn, and despite exposure to international conflicts, its stock remains a solid defensive investment.
See More
PMI Increases in February, Signifying Second Consecutive Month of Growth in U.S. Manufacturing
- U.S. Manufacturing Growth: The U.S. manufacturing sector reported a second consecutive month of growth, providing positive news for investors.
- Investor Sentiment: This growth in manufacturing is likely to boost investor confidence in the economy.
See More
