Philip Morris Reports 86% Stock Increase Amid Diversification

Philip Morris International is experiencing a resurgence in investor interest due to the rapid growth of new-generation nicotine products like nicotine pouches and heat-not-burn devices, rather than traditional cigarettes. The company leads in this space, with 42% of its net revenue coming from these alternative products, and its stock has surged 86% over the past year. Its Iqos brand dominates the heat-not-burn category globally, while its Zyn nicotine pouches are recording strong volume growth, particularly outside the Nordic markets. Additionally, its VeeV vaping devices, though currently a small segment, are showing significant year-over-year growth and could contribute more to future profits. These developments suggest that Philip Morris International's dividend growth could continue as the company transitions away from conventional tobacco products.