Philip Morris (PM) Offering Possible 21.95% Return Over the Next 16 Calendar Days

Philip Morris's most recent trend suggests a bearish bias. One trading opportunity on Philip Morris is a Bear Call Spread using a strike $83.00 short call and a strike $88.00 long call offers a potential 21.95% return on risk over the next 16 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $83.00 by expiration. The full premium credit of $0.90 would be kept by the premium seller. The risk of $4.10 would be incurred if the stock rose above the $88.00 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Philip Morris is bearish and the probability of a decline in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Philip Morris is bearish.

The RSI indicator is below 20 which suggests that the stock is in oversold territory.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here


LATEST NEWS for Philip Morris

Did Philip Morris International's Smoke-Free Future Just Go Up in Smoke?
Mon, 30 Apr 2018 20:15:00 +0000
The tobacco giant's latest earnings report clouds the picture of how much e-cigs can grow.

Altria's Problems Baked Into Price, Now A Buy At RBC
Mon, 30 Apr 2018 16:48:34 +0000
Altria Group Inc (NYSE: MO ) has declined 20 percent year-to-date, and one Street expert thinks the new valuation well accounts for enduring fundamental and macro concerns. The Rating RBC Capital Markets …

Why Altria’s Valuation Multiple Fell after 1Q18 Earnings
Mon, 30 Apr 2018 13:01:34 +0000
The forward PE multiple is calculated by dividing the company’s current stock price from analysts’ earnings estimates for the next four quarters. In 1Q18, Altria’s cigarette shipment volume declined 4.2%, which appears to have led to a fall in Altria’s stock price and valuation multiple. As of April 26, Altria was trading at a forward PE multiple of 13.3x, compared to 13.6x before the announcement of 1Q17 earnings.

Is the Bell Tolling on Tobacco Stocks?
Fri, 27 Apr 2018 23:52:00 +0000
A lackluster earnings report from Philip Morris may indicate that the party is finally coming to an end.

What Wall Street Recommends for Altria after 1Q18 Earnings
Fri, 27 Apr 2018 16:21:18 +0000
As of April 26, Altria Group (MO) was trading at $54.77. On the same day, analysts expected the company’s stock price to reach $72.46 in the next 12 months, which represents a return potential of 32.3%. The decline in cigarette shipment volume of 4.2% in 1Q18 appears to have prompted analysts to lower their target prices.

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