Recent Purchase: Philip Morris International
Finding value in this very bullish market isn’t the easiest task. While most stocks only go up and up, some stocks are struggling more. Two of those struggling stocks are Altria and Philip Morris – two companies we have seen often as a Watchlist recommendation here at Stockles.
I continue to believe that the market is wrong and overreacting to both companies. Many of my thoughts can be seen in previous Watchlist updates. I think I wrote something about both companies in Watchlist May or April.
Today, I bought 20 shares of Philip Morris International at $79.77 which adds 91 USD to my dividend income.
Here’s what Philip Morris is saying about the future
We’ve built the world’s most successful cigarette company,
with the world’s most popular and iconic brands.
Bold. Just the way I like it. A company who’s able to see that the world is changing, and doing everything they can to adapt.
What’s more, Since 2008,
#PM has had an annual yearly return at 9.61% and returned 161% against SPY at 175%.
Look at that crazy profitability. ROI at 40% and insane margins. Even more, the free cash flow per share is increasing too which currently gives us a 24% positive free cash flow margin. That is just an amazing number!!!
The number of shares is going down.
Can management use my money to create shareholder value? In other words, Increase ROIC?
Hell yeah they can!
That’s it. I am very pleased with my entry and hope to collect my shares should the market continue to doubt PM.