Equity Research on Altria Group Inc. and Philip Morris International Inc.

Altria PMI

Though regulations continue to tighten and growth in established markets has somewhat stalled, cigarette companies such as Altria Group Inc. and Philip Morris International Inc. carry on generating revenues. Emerging markets now offer bigger opportunities for growth, though in developed markets many are increasing their focus on smokeless tobacco products which have been gaining in popularity.

Altria PMI

Altria Group Inc. and Philip Morris International Inc.

The tobacco industry is no stranger to headwinds, and these keep building. Most recently The Centers for Disease Control and Prevention has revealed a campaign worth $54 million, including billboards, print, online, radio and television ads, intended to reduce the number of U.S. smokers by around 50,000.

Another concern for the industry is potential law requiring cigarette packs to sport graphic images of the effects of smoking. Although this was deemed unconstitutional by a federal judge in Washington last month, a Cincinnati-based federal appeals court has recently ruled that the warning labels do not constitute a violation of the free speech guarantee.

Similar Posts:

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>