Nicholas Wealth LLC Increases Stake in Philip Morris International
Nicholas Wealth LLC has enhanced its investment in Philip Morris International Inc. by 5.5% during the second quarter, as disclosed in its latest filing with the Securities and Exchange Commission (SEC). Following the acquisition of an additional 351 shares, the firm now holds 6,712 shares of the tobacco giant’s stock, valued at $1,222,000.
This move is part of a broader trend among institutional investors, with several hedge funds adjusting their positions in Philip Morris International (NYSE:PM). Notably, Dorsey Wright & Associates increased its stake by 44.8%, acquiring an additional 11,193 shares to reach a total of 36,169 shares, valued at $6,587,000. Other significant moves include TD Waterhouse Canada Inc., which grew its holdings by 54.0%, now owning 98,780 shares worth $17,535,000.
Additionally, TRUE Private Wealth Advisors expanded its position by 44.4%, while Anfield Capital Management LLC increased its stake by an impressive 185.5%. Currently, institutional investors collectively own 78.63% of Philip Morris International’s stock.
Stock Performance and Dividend Increase
On Wednesday, shares of Philip Morris International opened at $156.05, showing a 2.2% increase. The company boasts a market capitalization of $242.92 billion, with a price-to-earnings ratio of 28.27 and a price-to-earnings-growth ratio of 2.21. Over the past year, the stock has fluctuated between a low of $116.12 and a high of $186.69.
In addition to increasing its stock holdings, Philip Morris International recently announced a quarterly dividend of $1.47, which was paid on October 20, 2023. This dividend represents an annualized yield of 3.8% and is an increase from the previous quarterly dividend of $1.35. The ex-dividend date was October 3, 2023, and the company’s payout ratio currently stands at 106.52%.
Analyst Ratings and Market Outlook
Market analysts have provided mixed opinions on the stock. Needham & Company LLC has reaffirmed a “buy” rating with a target price of $195.00, while UBS Group recently reduced its price objective from $177.00 to $166.00, assigning a “neutral” rating. Other firms, including KGI Securities and Stifel Nicolaus, have expressed positive outlooks, with Stifel setting a price target of $180.00.
Currently, twelve analysts have issued a “buy” rating for the stock, and one has recommended holding, leading to an average rating of “Moderate Buy” with a consensus price target of $189.56, according to data from MarketBeat.
Philip Morris International continues to position itself as a leader in the tobacco industry, aiming for a smoke-free future with a diversified portfolio that now includes products beyond traditional tobacco. Its product lines feature cigarettes and smoke-free offerings such as heat-not-burn, vapor, and oral nicotine products, primarily marketed under the IQOS and ZYN brands.
As the company navigates the evolving landscape of tobacco consumption, the recent increase in institutional investments reflects confidence in its strategic direction and financial resilience.
