Philip Stock Valuation

PM
 Stock
  

USD 101.17  0.55  0.54%   

What is the enterprise value of Philip Morris? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Philip Morris, is its stock price multiplied by the total number of shares outstanding, calculating Philip Morris' enterprise value requires a different approach. It uses Philip Morris' balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Free Cash Flow is expected to hike to about 6.3 B this year, although Enterprise Value will most likely fall to nearly 138.8 B.
Philip Morris Intern holds a recent Real Value of $104.21 per share. The prevailing price of the company is $101.17. At this time, the company appears to be fairly valued. Our model determines the value of Philip Morris Intern from analyzing the company fundamentals such as Return On Equity of 0.0003 %, shares outstanding of 1.56 B, and Operating Margin of 43.87 % as well as examining its technical indicators and Probability Of Bankruptcy. In general, we support acquiring undervalued entities and dropping overvalued entities since, at some point, asset prices and their ongoing real values will merge together.
  
Philip Morris Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Philip Morris's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Philip Most Recent Valuation Data

Price Sales
4.92
Forward Annual Dividend Yield
0.0504
EBITDA
14 B
Dividend Share
5.0
Ex Dividend Date
2022-06-30
Beta
0.64
Fairly Valued
Today 101.17
Please note that Philip Morris' price fluctuation is very steady at this time. Calculation of the real value of Philip Morris Intern is based on 3 months time horizon. Increasing Philip Morris' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Philip Morris International is useful when determining the fair value of the Philip stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Philip Morris. Since Philip Morris is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Philip Stock. However, Philip Morris' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
104.21
Real Value
105.71
Upside
Estimating the potential upside or downside of Philip Morris International helps investors to forecast how Philip stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Philip Morris more accurately as focusing exclusively on Philip Morris' fundamentals will not take into account other important factors:
Earnings
Estimates (6)
LowProjected EPSHigh
6.016.046.06
Details
Hype
Prediction
LowEstimated ValueHigh
100.00101.50103.00
Details
9 Analysts
Consensus
LowTarget PriceHigh
88.00108.50130.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Philip Morris' intrinsic value based on its ongoing forecasts of Philip Morris' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Philip Morris' closest peers. When choosing an evaluation method for Philip Morris Intern, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Philip Morris Investments

1.27 Billion

Philip Valuation Drivers Correlation

Many accounts on the financial statements of Philip Morris Intern are highly interrelated and sometimes correlated. Consequently, when conducting Philip's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Philip
Click cells to compare fundamentals

Philip Valuation Trend

Knowing Philip Morris' actual value is paramount for traders to make sound investment determinations. Philip Morris' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Philip Morris' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Philip Morris' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Philip Market Cap

Philip Morris International is considered to be number one stock in market capitalization category among related companies. Market capitalization of Tobacco industry is at this time estimated at about 671.68 Billion. Philip Morris totals roughly 157.5 Billion in market capitalization claiming about 23% of equities listed under Tobacco industry.
Capitalization  Valuation  Revenue  Total debt  Workforce

Philip Morris Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Philip Morris's current stock value. Our valuation model uses many indicators to compare Philip Morris value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Philip Morris competition to find correlations between indicators driving Philip Morris's intrinsic value. More Info.
Philip Morris International is considered to be number one stock in last dividend paid category among related companies. It is considered to be number one stock in five year return category among related companies reporting about  1.06  of Five Year Return per Last Dividend Paid. . Comparative valuation analysis is a catch-all model that can be used if you cannot value Philip Morris by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Philip Morris' Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Philip Morris' earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Philip Morris' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Philip Morris and how it compares across the competition.

About Philip Morris Valuation

The stock valuation mechanism determines the current worth of Philip Morris International on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Philip Morris International. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Philip Morris Intern based exclusively on its fundamental and basic technical indicators. By analyzing Philip Morris's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Philip Morris's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Philip Morris. We calculate exposure to Philip Morris's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Philip Morris's related companies.
Fiscal Year End
December
Industry
Tobacco
Concentration
Tobacco
Full Time Employees
69.6 K
Service Category
Tobacco
Employer Id Number
13-3435103
Last ReportedProjected for 2022
Gross Profit15.6 B15.6 B
Profit Margin 29.00  30.49 
Philip Morris International Inc. operates as a tobacco company working to delivers a smoke-free future and evolving portfolio for the long-term to include products outside of the tobacco and nicotine sector. The companys product portfolio primarily consists of cigarettes and smoke-free products, including heat-not-burn, vapor, and oral nicotine products that are sold in markets outside the United States. The company offers its smoke-free products under the HEETS, HEETS Creations, HEETS Dimensions, HEETS Marlboro, HEETS FROM MARLBORO, Marlboro Dimensions, Marlboro HeatSticks, Parliament HeatSticks, and TEREA brands, as well as the KTG-licensed brands, Fiit, and Miix. It also sells its products under the Marlboro, Parliament, Bond Street, Chesterfield, LM, Lark, and Philip Morris brands. In addition, the company owns various cigarette brands, such as Dji Sam Soe, Sampoerna A, and Sampoerna U in Indonesia and Fortune and Jackpot in the Philippines. The company sells its smoke-free products in 71 markets. Philip Morris International Inc. was incorporated in 1987 and is headquartered in New York, New York.
Philip Morris' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Philip Morris' value is low or high relative to the company's performance and growth projections. Determining the market value of Philip Morris can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Philip Morris represents a small ownership stake in the entity. As a stockholder of Philip, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Philip Morris Dividends Analysis For Valuation

The value of Payment of Dividends and Other Cash Distributions is expected to pull down to about (7.9 B). The value of Dividend Yield is estimated to pull down to 0.039. Philip Morris Earning Before Interest and Taxes EBIT is relatively stable at the moment as compared to the past year. The company's current value of Earning Before Interest and Taxes EBIT is estimated at 9.63 Billion. Earnings Before Interest Taxes and Depreciation Amortization EBITDA is expected to hike to about 14.7 B this year, although the value of Earnings per Basic Share will most likely fall to 5.08.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-7.3 B-7.9 B
Dividend Yield 0.0405  0.039 
Dividends per Basic Common Share 3.71  3.26 
There are various types of dividends Philip Morris can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Philip shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Philip Morris International directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Philip pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Philip Morris by the value of the dividends paid out.

Philip Morris Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Philip Morris does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio0.47
Earnings Quarterly Growth2.80%
Revenue Growth3.10%
Payout Ratio85.76%
Enterprise Value To Ebitda12.57
Earnings Growth2.90%
Enterprise Value To Revenue5.51

Philip Morris Current Valuation Indicators

Valuation refers to the process of determining the present value of Philip Morris International and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Philip we look at many different elements of the entity such as Philip's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Philip Morris' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Philip Morris' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Philip Morris, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Philip Morris' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Philip Morris' worth.
Please check Your Equity Center. Note that the Philip Morris Intern information on this page should be used as a complementary analysis to other Philip Morris' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.

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When running Philip Morris Intern price analysis, check to measure Philip Morris' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Philip Morris is operating at the current time. Most of Philip Morris' value examination focuses on studying past and present price action to predict the probability of Philip Morris' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Philip Morris' price. Additionally, you may evaluate how the addition of Philip Morris to your portfolios can decrease your overall portfolio volatility.
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Is Philip Morris' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Philip Morris. If investors know Philip will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Philip Morris listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.029
Market Capitalization
156.6 B
Quarterly Revenue Growth YOY
0.031
Return On Assets
0.2
The market value of Philip Morris Intern is measured differently than its book value, which is the value of Philip that is recorded on the company's balance sheet. Investors also form their own opinion of Philip Morris' value that differs from its market value or its book value, called intrinsic value, which is Philip Morris' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Philip Morris' market value can be influenced by many factors that don't directly affect Philip Morris' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Philip Morris' value and its price as these two are different measures arrived at by different means. Investors typically determine Philip Morris value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Philip Morris' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.