Tuesday, April 2, 2013

Philip Morris International Earnings Are on Deck

Philip Morris International (NYSE: PM  ) is expected to report Q4 earnings on Feb. 7. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Philip Morris International's revenues will grow 4.5% and EPS will increase 10.9%.

The average estimate for revenue is $8.02 billion. On the bottom line, the average EPS estimate is $1.22.

Revenue details
Last quarter, Philip Morris International reported revenue of $7.92 billion. GAAP reported sales were 5.3% lower than the prior-year quarter's $8.36 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $1.38. GAAP EPS of $1.32 for Q3 were 2.2% lower than the prior-year quarter's $1.35 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 67.4%, 140 basis points better than the prior-year quarter. Operating margin was 46.2%, 170 basis points better than the prior-year quarter. Net margin was 28.1%, 30 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $31.45 billion. The average EPS estimate is $5.20.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 2,880 members out of 2,941 rating the stock outperform, and 61 members rating it underperform. Among 817 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 806 give Philip Morris International a green thumbs-up, and 11 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Philip Morris International is outperform, with an average price target of $91.81.

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