Philip Morris (PM) Reports Next Week: Wall Street Expects Earnings Growth

Core Viewpoint - Philip Morris is anticipated to report a year-over-year increase in earnings driven by higher revenues, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The upcoming earnings report is expected to be released on April 23, with a consensus EPS estimate of $1.61, reflecting a +7.3% change year-over-year. Revenues are projected to be $8.95 billion, up 1.8% from the previous year [3][2]. Estimate Revisions - The consensus EPS estimate has been revised 0.92% higher in the last 30 days, indicating a collective reassessment by analysts [4]. However, the Most Accurate Estimate is lower than the consensus, resulting in an Earnings ESP of -1.83%, suggesting a bearish outlook on the company's earnings prospects [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank of 1, 2, or 3. Stocks with this combination have a nearly 70% success rate for positive surprises [8]. However, a negative Earnings ESP does not necessarily indicate an earnings miss [9]. Historical Performance - Philip Morris has a history of beating consensus EPS estimates, having done so in the last four quarters. In the most recent quarter, the company reported earnings of $1.55 per share against an expectation of $1.51, resulting in a surprise of +2.65% [12][13]. Conclusion - While Philip Morris does not currently appear to be a compelling candidate for an earnings beat, investors should consider other factors when making investment decisions ahead of the earnings release [16].