PMNEUTRAL

PM P/E Ratio Analysis

22.6x

Higher than 67% of Consumer Defensive sector peers

Updated 600h ago·SEC filings & market data

Key Takeaway

The P/E ratio of 22.6x means investors are paying $22.60 for every $1.00 of the company's annual earnings per share, reflecting how much they are willing to pay for future profit.

Sector Performance

67th percentile

22.6x

Sector Median

14.0x

Sector Avg

19.6x

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Deep Analysis

The P/E ratio of 22.6x means investors are paying $22.60 for every $1.00 of the company's annual earnings per share, reflecting how much they are willing to pay for future profit.

This level is above the Consumer Defensive sector median of 20.5x, placing Philip Morris in the 70th percentile among peers—indicating a premium valuation relative to most companies in its industry. Trend data for this metric is not available: year-over-year and quarter-over-quarter changes are both reported as N/A, and there are no historical values beyond the current figure. Without a trend, the combination of a premium P/E and no directional information suggests a neutral risk profile—the stock is priced higher than peers, but investors lack evidence of whether that premium is expanding or contracting. This metric supports the overall NEUTRAL verdict: the valuation is above the sector median but not extreme enough to clearly contradict a cautious stance, and the absence of trend data leaves the outlook inconclusive.

Frequently Asked Questions

What does the P/E Ratio tell investors about PM?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does PM's P/E Ratio compare to its sector?

PM's P/E Ratio of 22.6x compares to a Consumer Defensive sector median of 14.0x, placing it in the 67th percentile.

Who are PM's closest peers by P/E Ratio?

The closest Consumer Defensive peers by P/E Ratio include: MO (14.0x), BTI (13.5x), BUD (13.1x), ABEV (3.2x), ADM (31.3x).

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Learn More About P/E Ratio

DCF Valuation: How to Estimate What a Stock Is Actually Worth

Discounted Cash Flow is the most rigorous way to value a company. It's also the most misunderstood. Here's a plain-English walkthrough with a real example.

The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.