PMNEUTRAL

PM Debt-to-Equity Ratio Analysis

-5.72x

Higher than 14% of Consumer Defensive sector peers

Updated 84h ago·SEC filings & market data

Key Takeaway

A debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity; at -5.72x, Philip Morris’s equity is negative, meaning liabilities exceed assets.

Sector Performance

14th percentile

-5.72x

Sector Median

0.49x

Sector Avg

-1.30x

Prior Period

-5.60x(Jun 2026)

↑ Improving

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Deep Analysis

A debt-to-equity ratio compares a company’s total liabilities to its shareholders’ equity; at -5.72x, Philip Morris’s equity is negative, meaning liabilities exceed assets.

This sits far below the sector median of 0.51x and places the company in the 11th percentile among consumer defensive peers. Trend data is not available: the year-over-year and quarter-over-quarter changes are both N/A, so no direction can be established from this metric alone. The combination of a deeply negative level with no observable trend signals elevated financial leverage and potential balance-sheet stress, but the absence of movement limits any conclusion about worsening or improving conditions. This metric contradicts a NEUTRAL verdict by highlighting above-average risk, yet the overall view likely accounts for other strengths that offset this weakness. Directly, the -5.72x ratio does not support a neutral stance; it points to a higher-risk profile than most sector peers.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about PM?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does PM's Debt-to-Equity Ratio compare to its sector?

PM's Debt-to-Equity Ratio of -5.72x compares to a Consumer Defensive sector median of 0.49x, placing it in the 14th percentile.

Who are PM's closest peers by Debt-to-Equity Ratio?

The closest Consumer Defensive peers by Debt-to-Equity Ratio include: ADM (0.47x), WMT (0.51x), BTI (0.72x), ABEV (0.03x), KDP (1.02x).

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Learn More About Debt-to-Equity Ratio

How to Spot a Debt Problem Before It Hits the Stock Price

Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.