Philip Morris: Future Prospects and Pressure From Headwinds

Since 2009, Philip Morris International has managed to deliver modest increases in revenues (see Figure 1) predominantly driven by market share gains and pricing. Although we expect the company to continue maintaining its revenues, a number of headwinds could threaten prospects going forward, namely: a fall in volumes, an increase in regulatory control, a rise in contraband, and a strong U.S. dollar. However, does this mean things will be downhill from here on for Philip Morris? Probably not, an...