FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Philip Morris International FCF Yield % Explanation
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
Philip Morris International FCF Yield % Related Terms
Philip Morris International FCF Yield % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Tobacco subindustry, Philip Morris International's FCF Yield %, along with its competitors' market caps and FCF Yield % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Philip Morris International FCF Yield % vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, Philip Morris International's FCF Yield % distribution charts can be found below:
* The bar in red indicates where Philip Morris International's FCF Yield % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Philip Morris International (MEX:PM) has a FCF Yield % of 3.83 as of Jun. 25, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Philip Morris International and its competitors. This is 33% below median its historical median of 5.70. Over the past decade, Philip Morris International's FCF Yield % has ranged from 3.21 to 9.72. According to the industry distribution chart, Philip Morris International ranks #23 out of 49 companies in the Tobacco Products industry, placing it in the top 46.9%.
Is Philip Morris International's FCF Yield % too high?
Philip Morris International's current FCF Yield % of 3.83 is 33% below median its 10-year median of 5.70. Over the past 10 years, this metric has ranged from a low of 3.21 to a high of 9.72. The Tobacco Products industry median FCF Yield % is 1.97. Philip Morris International's value of 3.83 is 94.4% above this industry median. Based on the distribution chart, Philip Morris International ranks #23 out of 49 companies in the Tobacco Products industry, which is above the industry midpoint. Overall, Philip Morris International has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Philip Morris International's FCF Yield % compare to MO and TPB?
According to the Tobacco Products industry distribution chart, Philip Morris International ranks #23 out of 49 companies for FCF Yield %. This puts Philip Morris International in the upper half of its industry. The industry median FCF Yield % is 1.97. Philip Morris International's value of 3.83 is 94.4% above this benchmark. Historically, Philip Morris International's own FCF Yield % has ranged from 3.21 to 9.72 over the past decade. While the company's 10-year median is 5.70 vs. the industry median of 1.97, Philip Morris International has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Yield % for a Tobacco Products company?
The median FCF Yield % among Tobacco Products companies is 1.97, based on 49 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Philip Morris International's current FCF Yield % of 3.83 is 94.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Philip Morris International and its competitors. For the Tobacco Products industry, the median FCF Yield % is 1.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Philip Morris International's current FCF Yield % is 3.83, which is 33% below median its own 10-year median of 5.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Philip Morris International stock overvalued right now?
Based on GuruFocus' analysis, Philip Morris International (MEX:PM) is currently considered Modestly Overvalued. The stock's GF Value™ is MXN2,509.10, compared to a current price of MXN3,138.00 — trading 25.1% above its estimated fair value. The current FCF Yield % is 3.83, which is 33% below median its 10-year median of 5.70 and 94.4% above the Tobacco Products industry median of 1.97. Philip Morris International's overall GF Score™ is 75/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For Philip Morris International (MEX:PM), the current FCF Yield % is 3.83 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Philip Morris International (MEX:PM) Overvalued in 2026?
Based on GuruFocus' analysis, Philip Morris International stock appears to be overvalued.
The current stock price of MXN3,138.00 is trading 25.1% above its estimated GF Value™ of MXN2,509.10.
GuruFocus considers Philip Morris International to be Modestly Overvalued.
Key valuation signals for MEX:PM:
FCF Yield %: 3.83 (33% below median its 10-year median of 5.70)
GF Value™: MXN2,509.10 vs. price of MXN3,138.00 (25.1% above fair value)
Industry Position: 94.4% above the Tobacco Products median (#23 of 49)
No single metric tells the full story. See the MEX:PM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Created from the international operations of Altria in 2008, Philip Morris International sells cigarettes and reduced-risk products, including heat sticks, vapes, and oral nicotine offerings, primarily outside of the US. With the 2023 acquisition of Swedish Match, a leading manufacturer of traditional oral tobacco products and nicotine pouches primarily in the US and Scandinavia, PMI is not only dominant in smokable products but also has the Iqos and Zyn brands, which respectively dominate heated tobacco and nicotine pouches in most markets. It also owns the Veev brand in vapes.
75GF Score
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