Philip Morris Seeks Modified Risk Label for ZYN Nicotine Pouches
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5d ago
0mins
Source: Benzinga
- FDA Advisory Meeting: Philip Morris presented scientific findings at the FDA's advisory meeting to support its modified risk label application for ZYN nicotine pouches, which, if approved, would allow the company to inform adult smokers that switching fully to ZYN reduces smoking-related disease risks.
- Scientific Evidence Support: The company provided data indicating that ZYN contains significantly lower levels of harmful chemicals compared to cigarettes, and consumers generally understand that ZYN is lower risk than cigarettes, which could drive a trend towards complete switching from combustible products.
- Risk Reduction Claims: FDA materials stated that the proposed modified risk claim is scientifically accurate, with the advisory committee discussing ZYN's potential to reduce the risks of six major smoking-related diseases, including mouth cancer, heart disease, and lung cancer, thereby enhancing its market potential.
- Market Reaction: Following the news, Philip Morris shares rose by 1.09% to $171.91, reflecting investor confidence in the company's future in the nicotine product market.
Analyst Views on PM
Wall Street analysts forecast PM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PM is 181.63 USD with a low forecast of 158.00 USD and a high forecast of 200.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
8 Buy
1 Hold
0 Sell
Strong Buy
Current: 178.880
Low
158.00
Averages
181.63
High
200.00
Current: 178.880
Low
158.00
Averages
181.63
High
200.00
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.
