Photo by Wance Paleri on Unsplash

Philip Morris International, known by the ticker symbol PM is a Large-cap tobacco company, operating in the consumer defensive business sector. This is my first report on PM for this Viital portfolio or any of my six previous portfolios. 

Philip Morris International is a leading international tobacco company engaged in the manufacture and sale of cigarettes and other nicotine-containing products in markets outside the United States. 

Through multidisciplinary capabilities in product development, state-of-the-art facilities, and scientific substantiation, the company aims to ensure that its smoke-free products meet adult consumer preferences and rigorous regulatory requirements. Management's vision is that these products ultimately replace cigarettes.

It markets and sells its products in the European Union, Eastern Europe, the Middle East, Africa, South, and Southeast Asia, East Asia, Australia, Latin America, and Canada. 

Philip Morris International Inc. was incorporated in 1987 and is headquartered in New York, New York

Three key data points gauge any dividend equity or fund such as Philip Morris International (PM).

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money. 
 

PM Price

Philip Morris’s price per share was $108.17 as of yesterday's market close. One year ago its price was $96.43. Therefore, PM’s share price rose $11.74 or near 12.2% in the past year. 

If Philip Morris’s stock trades in the range of $80.00 to $120.00 this next year, its recent $108.17 share price might rise by $1.83 to reach $110.00 by May 27, 2023. My $1.83 upside estimate is $0.21 over the median of annual price increase estimates from sixteen analysts covering PM for their brokerages.
 

PM Dividends 

Philip Morris’s most recently declared a quarterly dividend of $1.25 was paid on April 12th to shareholders on record as of March 23rd.  

Philip Morris initiated a quarterly $0.46 dividend as of July 10, 2008. The dividend has increased nearly annually to $1.25 as of last year. Its payout equates to $5.00 at an Annual rate, PM annual payout is calculated to deliver a 4.62% annual yield per yesterday’s $108.17 share price.
 

PM Returns

Adding the $5.00 PM annual dividend to my estimated one-year price upside of $1.83 shows a $6.83 potential gross gain, per share, to be reduced by any costs to trade PM shares.  

At yesterday's $108.17 closing price per share, a little under $1000 would buy 9 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at the sale and might cost us about $1.11 per share.

Subtract that maybe $1.11 brokerage cost from my estimated $6.83 gross gain estimate per share results in a net gain of $5.72 X 9 shares = $51.48 for an 5.15% net gain including a 4.62% forward-looking dividend yield. 

So it is that Philip Morris International  shows a possible 5.15% net gain including a 4.62% forward looking dividend yield. 

Over the next year at this time our $1000 investment in Philip Morris International  shares might generate $46.20 in cash dividends. Of course a single share of PM stock bought at yesterday's $108.17 price is over twice the dividend income from our $1000.00 investment. 

So, by my dogcatcher ideal, this is a terrible time to pick up Philip Morris International shares based on their forward-looking dividends for the year 2022. A forthcoming annual dividend from $1K invested is estimated to be 2.10 times less than yesterday's single share price. Consider yourself alerted. It's a sign. Wait for PM shares to drop to $70.75 or dividend to reach $2.93 per quarter.

All of the estimates above are speculation based on the past history of  Philip Morris International Inc (PM). Only time and money invested in this stock will determine its market value.