# Philip Morris International Inc. (PM) — Stock CV

Philip Morris International Inc. is a $314B consumer staples company. Revenue grew 8.9% over the last year, it keeps 26¢ of every dollar of sales as profit, and its net debt equals ~3.2 years of free cash flow. It trades at 28.8× earnings — in the most expensive third of its own history.

> Created from the international operations of Altria in 2008, Philip Morris International sells cigarettes and reduced-risk products, including heat sticks, vapes, and oral nicotine offerings, primarily outside of the US.

## Identity

- **Ticker**: PM
- **Sector**: Consumer Defensive
- **Industry**: Cigarettes
- **Headquarters**: STAMFORD, CT
- **Employees**: 84 900
- **Website**: https://www.pmi.com
- **Market cap**: $314B
- **Last price**: $201.19
- **Financial profile**: Strained

## Vitals (TTM)

- **Revenue**: $42.5B
- **Net income**: $10.9B
- **Free cash flow**: $12.7B
- **Net debt**: $40.4B
- **P/E**: 28.8
- **Revenue growth (YoY)**: 8.9%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 41 |
| Growth | 61 |
| Profitability | 100 |
| Health | 31 |
| Quality | 82 |
| Moat | 93 |

## Qualifications (beginner checklist) — 10 of 11 passed

- [x] Revenue growing — +8.9% YoY
- [x] Profitable — $10.9B TTM
- [x] Profit growing — +7.7% YoY
- [x] Generates cash — $12.7B TTM
- [x] Debt under control — ~3.2y of cash flow to repay
- [x] Established company — $314B market cap
- [x] Not printing shares — +3.8% shares over ~5y
- [x] Proven track record — 10/10 profitable years
- [ ] Financially stable — health score 31/100
- [x] Pays a dividend — yield 2.87%
- [x] Valuation not extreme — P/E 28.8

## Experience (career milestones)

- **FY2025** — Best year on record: $11.3B net income
- **2022** — PMI also agreed to a $16 billion deal to acquire Swedish Match, boosting its position in cigarette…
- **FY2016** — Profitable every year on record: 10 consecutive profitable years in our data
- **FY2016** — Revenue already above $50B: $75.0B in first reported year
- **FY2016** — Positive free cash flow every year since: 10-year streak
- **2003** — Philip Morris Companies changed its name to Altria Group
- **1994** — Philip Morris International established the Philip Morris Ukraine subsidiary and acquired a 51% stake in a…
- **1963** — Philip Morris Inc. purchased the Swiss company in 1963
- **1961** — The overseas division was renamed Philip Morris International in 1961, alongside Philip Morris Domestic and Philip…
- **1957** — Then, in 1957, the Swiss Fabriques de Tabac Réunies in Neuchatel became the first to acquire foreign licensing…
- **1954** — Increasing sales fueled the company's expansion: in 1954, Philip Morris Australia became the first international…
- **1919** — The American subsidiary was bought by investor Georges Whelan and incorporated in Virginia under the name…
- **1885** — The company became Philip Morris & Co., Ltd. in 1885 when the partnership dissolved
- **1880** — Leopold became the sole owner in 1880 and formed a partnership with Joseph Grunebaum, leading to the incorporation…

## Strengths

- High gross margin (67.5%)
- Strongly profitable — 25.6% net margin
- Strong cash conversion — FCF is 29.9% of revenue
- Interest covered 15.4× by operating earnings
- High returns on invested capital (ROIC 37.3%)

## Watch-outs

- None stand out in the data.

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $31.4B | $9.11B | $11.2B |
| FY2022 | $31.8B | $9.05B | $9.73B |
| FY2023 | $35.2B | $7.81B | $7.88B |
| FY2024 | $37.9B | $7.06B | $10.8B |
| FY2025 | $40.6B | $11.3B | $10.7B |

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Source: https://stockcv.com/PM — derived from company filings; may be delayed or incomplete. Information, not investment advice.