PM Consumer Defensive

Philip Morris International Inc.

$208.03-0.12%

Price as of close on Nov 3, 2026 · Financials updated Sep 30, 2026

Basics

Sector: Consumer Defensive
Industry: Tobacco
Country: United States
Market cap: 324.2B USD
Enterprise value: 362.9B USD
Full-time employees: 84,900

Overall health

Drawback: its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings
Drawback: higher risk than most peers: less short-term liquidity (current ratio 0.98 vs a peer median of 1.52)higher risk: less liquidity (current ratio 0.98 vs peers 1.52)

Ranks #336 of 761 consumer defensive companies (top 45%)

See how it ranks against its peers

Worth knowing

Negative shareholders' equity. Liabilities exceed assets on the balance sheet.
Philip Morris International's liabilities exceed its assets on the balance sheet. Large share buybacks can cause this in healthy companies, but so can accumulated losses; either way, debt-based ratios need care.
Annual revenue rose 5 years in a row. Fiscal-year revenue rose from $28.7B in 2020 to $40.6B in 2025.
Philip Morris International's fiscal-year revenue rose in each of the five years to 2025, from $28.7B to $40.6B.
Profit is backed by cash. Free cash flow is 117% of reported profit.
Philip Morris International's free cash flow is 117% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.
Wide margins. Operating margin 38% (12 months to Jun 2026) vs a peer median of 7.6%.Operating margin 38% vs peers 7.6%.
Philip Morris International keeps 38% of revenue as operating profit, more than 95% of peers (median 7.6%).

StockQuotient Score

54/ 100

Oct 5 54 → Nov 4 54

Valuation

Is the price right?

29/100

Weak

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why

Weaker than most peers on:

▼ EBITDA yield
▼ FCF yield
▼ Earnings yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield3.4%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score -0.39Sector median: 0.0453 · MAD: 0.0301

EBITDA yield4.9%

SEC filings · 12 months to Jun 2026Reported value50% base weight · Z-score -0.86Sector median: 0.0865 · MAD: 0.0435

Free cash flow yield3.9%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score -0.52Sector median: 0.0622 · MAD: 0.0441

Other data (not scored)

Book yield-2.6%

SEC filings · latest balance sheetOutlier capped at sector 5th/95th percentileInformational · 0% composite weightSector median: 0.5381 · MAD: 0.2865

Growth

Is it growing?

78/100

Moderate▼ 1 since Oct 27 close

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

12-month revenue up 2.5%

Why it changed since the Oct 27, 2026 close: Score 79 → 78

Peer companies moved-1

Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.

Why

Stronger than most peers on:

▲ EPS growth
▲ 3-yr revenue
▲ Revenue growth

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth31.9%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 1.20Sector median: 0.0154 · MAD: 0.2529

3-year revenue growth8.7%

SEC filings · 3 years to Jun 2026Reported value33% base weight · Z-score 1.06Sector median: 0.0366 · MAD: 0.0470

Revenue growth8.9%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 1.05Sector median: 0.0278 · MAD: 0.0585

Profitability

Does it earn well?

99/100

Strong

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Stronger than most peers on:

▲ Operating margin
▲ ROA
▲ ROIC

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin37.7%

SEC filings · 12 months to Jun 2026Outlier capped at sector 5th/95th percentile33% base weight · Z-score 3.97Sector median: 0.0759 · MAD: 0.0508

Return on assets15.9%

SEC filings · 12 months to Jun 2026Outlier capped at sector 5th/95th percentile33% base weight · Z-score 3.55Sector median: 0.0396 · MAD: 0.0262

Return on invested capital36.7%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 4.32Sector median: 0.0766 · MAD: 0.0673

Other data (not scored)

Gross margin67.5%

SEC filings · 12 months to Jun 2026Outlier capped at sector 5th/95th percentileInformational · 0% composite weightSector median: 0.3182 · MAD: 0.1263

Return on equityUnavailable

Missing · left out of the scoreInformational · 0% composite weightSector median: 0.0831 · MAD: 0.0675

Risk

Debt, liquidity, price swings

Higher

Higher relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Debt / equity
▼ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta0.40

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score 0.07Sector median: 0.4070 · MAD: 0.1690

Current ratio0.98×

SEC filings · latest balance sheetReported value33% base weight · Z-score -0.84Sector median: 1.5250 · MAD: 0.6460

Debt / equityUnavailable

Shareholders' equity is negative, so debt/equity counts as among the highest in its peer group33% base weight · Z-score -5.63Sector median: 0.4234 · MAD: 0.3581

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Philip Morris International

Is Philip Morris International getting weaker?: Its latest SEC filing (Jul 24, 2026) showed no major changes. Its overall score is unchanged at 54/100 since Oct 28, 2026.
How is Philip Morris International valued vs its peers?: Priced higher than most peers relative to what it earns. Valuation scores 29/100 against 823 consumer defensive peers. EBITDA yield 4.9% vs a peer median of 8.7% (weaker than 73% of peers).EBITDA yield 4.9% vs peers 8.7% (weaker than 73% of peers).
Is Philip Morris International growing?: Yes, faster than most of its peers. Growth scores 78/100 against 823 consumer defensive peers. Earnings per share growth 31.9% vs a peer median of 1.5% (stronger than 79% of peers).Earnings per share growth 31.9% vs peers 1.5% (stronger than 79% of peers).
How profitable is Philip Morris International?: More profitable than most of its peers. Profitability scores 99/100 against 823 consumer defensive peers. Operating margin 37.7% vs a peer median of 7.6% (stronger than 95% of peers).Operating margin 37.7% vs peers 7.6% (stronger than 95% of peers).
How risky is Philip Morris International?: Higher risk relative to 823 consumer defensive peers, judged on debt, liquidity and share-price swings. Current ratio 0.98× vs a peer median of 1.52× (weaker than 77% of peers).Current ratio 0.98× vs peers 1.52× (weaker than 77% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Jul 24, 2026 · compared with the quarter ended Mar 31, 2026

No major changes

	Previous quarter	Latest quarter	Change
Revenue (12 months)	41.5B USD	42.5B USD	+2.5%
Net income (12 months)	11.1B USD	10.9B USD	−2.0%
Operating margin	36.7%	37.7%	+1.0 pts
Free cash flow (12 months)	10.7B USD	12.7B USD	+19.3%
Debt	51.9B USD	49.1B USD	−5.5%
Cash	5.5B USD	6.0B USD	+10.1%
Shares outstanding	1.56B	1.56B	+0.0%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Sector: Consumer Defensive · 91 companies

Valuations in Consumer Defensive are within their usual range since 2016.

30% of months since 2016 were valued lower than now.
18% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values −4% and earnings +7% (medians): prices and earnings moved broadly together.
Median price-to-sales is −58% vs the whole market, against a usual −39%.

2016Shaded: most expensive fifth of its range2026

Shown for Consumer Defensive: too few Tobacco companies have a long enough history of their own.

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Gross margin	68.1%	64.1%	63.3%	64.8%	67.1%	▲ 2.3 pts
Operating margin	41.3%	38.6%	32.9%	35.4%	36.6%	▲ 1.3 pts
Net margin	29.0%	28.5%	22.2%	18.6%	27.9%	▲ 9.3 pts
Return on assets (ROA)	22.1%	14.7%	12.0%	11.4%	16.4%	▲ 5.0 pts
Free cash flow margin	35.7%	30.6%	22.4%	28.4%	26.2%	▼ 2.2 pts
Current ratio	0.92×	0.72×	0.75×	0.88×	0.96×	▲ 8.9%
Quick ratio	0.47×	0.36×	0.34×	0.47×	0.51×	▲ 8.4%
Interest coverage	17.61×	15.95×	7.57×	7.60×	9.38×	▲ 23%

PM price history

Price history is added with the daily price update and will appear after the next one.

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Bringing the fundamentals into focus…

Overall health

Drawback: its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings

Drawback: higher risk than most peers: less short-term liquidity (current ratio 0.98 vs a peer median of 1.52)higher risk: less liquidity (current ratio 0.98 vs peers 1.52)

Ranks #336 of 761 consumer defensive companies (top 45%)

See how it ranks against its peers

Worth knowing

Negative shareholders' equity. Liabilities exceed assets on the balance sheet.

Philip Morris International's liabilities exceed its assets on the balance sheet. Large share buybacks can cause this in healthy companies, but so can accumulated losses; either way, debt-based ratios need care.

Annual revenue rose 5 years in a row. Fiscal-year revenue rose from $28.7B in 2020 to $40.6B in 2025.

Philip Morris International's fiscal-year revenue rose in each of the five years to 2025, from $28.7B to $40.6B.

Profit is backed by cash. Free cash flow is 117% of reported profit.

Philip Morris International's free cash flow is 117% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.

Wide margins. Operating margin 38% (12 months to Jun 2026) vs a peer median of 7.6%.Operating margin 38% vs peers 7.6%.

Philip Morris International keeps 38% of revenue as operating profit, more than 95% of peers (median 7.6%).

Questions investors ask about Philip Morris International

Is Philip Morris International getting weaker?

Its latest SEC filing (Jul 24, 2026) showed no major changes. Its overall score is unchanged at 54/100 since Oct 28, 2026.

How is Philip Morris International valued vs its peers?

Priced higher than most peers relative to what it earns. Valuation scores 29/100 against 823 consumer defensive peers. EBITDA yield 4.9% vs a peer median of 8.7% (weaker than 73% of peers).EBITDA yield 4.9% vs peers 8.7% (weaker than 73% of peers).

Is Philip Morris International growing?

Yes, faster than most of its peers. Growth scores 78/100 against 823 consumer defensive peers. Earnings per share growth 31.9% vs a peer median of 1.5% (stronger than 79% of peers).Earnings per share growth 31.9% vs peers 1.5% (stronger than 79% of peers).

How profitable is Philip Morris International?

More profitable than most of its peers. Profitability scores 99/100 against 823 consumer defensive peers. Operating margin 37.7% vs a peer median of 7.6% (stronger than 95% of peers).Operating margin 37.7% vs peers 7.6% (stronger than 95% of peers).

How risky is Philip Morris International?

Higher risk relative to 823 consumer defensive peers, judged on debt, liquidity and share-price swings. Current ratio 0.98× vs a peer median of 1.52× (weaker than 77% of peers).Current ratio 0.98× vs peers 1.52× (weaker than 77% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

41.5B USD

42.5B USD

+2.5%

Net income (12 months)

11.1B USD

10.9B USD

−2.0%

Operating margin

36.7%

37.7%

+1.0 pts

Free cash flow (12 months)

10.7B USD

12.7B USD

+19.3%

Debt

51.9B USD

49.1B USD

−5.5%

Cash

5.5B USD

6.0B USD

+10.1%

Shares outstanding

1.56B

1.56B

+0.0%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Gross margin

68.1%

64.1%

63.3%

64.8%

67.1%

▲ 2.3 pts

Operating margin

41.3%

38.6%

32.9%

35.4%

36.6%

▲ 1.3 pts

Net margin

29.0%

28.5%

22.2%

18.6%

27.9%

▲ 9.3 pts

Return on assets (ROA)

22.1%

14.7%

12.0%

11.4%

16.4%

▲ 5.0 pts

Free cash flow margin

35.7%

30.6%

22.4%

28.4%

26.2%

▼ 2.2 pts

Current ratio

0.92×

0.72×

0.75×

0.88×

0.96×

▲ 8.9%

Quick ratio

0.47×

0.36×

0.34×

0.47×

0.51×

▲ 8.4%

Interest coverage

17.61×

15.95×

7.57×

7.60×

9.38×

▲ 23%