Philip Morris International Inc (PM)

Shares of Philip Morris International Inc (PM) dropped by 1.56% from $92.54 to $91.10 in the trading on Wednesday, December 6, 2023. The reason why PM is down today is due to the significant write-down announced by British American Tobacco (BTI)

• Impact of British American Tobacco Write-Down: British American Tobacco (BAT) announced a substantial write-down in the value of its US cigarette brands, including Camel, Pall Mall, and others. The write-down amounts to approximately $31.5 billion and reflects BAT's acknowledgment that its traditional market, particularly in the United States, has no long-term future. This decision is indicative of the evolving challenges and shifting dynamics in the tobacco industry.
• Indirect Impact on Philip Morris International Inc: Philip Morris International is closely related to the tobacco industry, and developments in major tobacco companies, such as BAT, can have a spillover effect. The significant write-down by BAT likely raised concerns among investors about the long-term prospects of the tobacco industry as a whole. This uncertainty and the acknowledgment of challenges in the traditional tobacco market may have contributed to the decline in PM's stock price.