Here’s What Makes Philip Morris (PM) a Good Investment

First Eagle Investments is an independent, privately owned asset management firm dedicated to serving the needs of individuals and institutions worldwide as well as the financial professionals that advise them. Recently, the fund published its second-quarter 2022 investor letter – a copy of which can be downloaded here. The fund believes that the return to the conditions that prevailed in the aftermath of the Covid-19 swoon—namely, moderate inflation and a very low cost of capital—may be further away than some may think. Global Fund A Shares (without sales charge) posted a return of -10.49% in the second quarter 2022. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, First Eagle Investments Global Fund mentioned Philip Morris International Inc. (NYSE:PM) and explained its insights into the company. Founded in 1847, Philip Morris International Inc. (NYSE:PM) is a New York, New York-based tobacco company with a $148.0 billion market capitalization. Philip Morris International Inc. (NYSE:PM) delivered a 0.52% return since the beginning of the year, while its 12-month returns are down by -7.29%. The stock closed at $95.49 per share on August 30, 2022.

Here is what First Eagle Investments Global Fund has to say about Philip Morris International Inc. (NYSE:PM) in its Q2 2022 investor letter:

“Philip Morris shares benefited from the market rotation into defensive areas of the market. The company continued to make progress in its transition to next-generation, non-combustible products and during the quarter entered into an agreement to acquire Swedish Match, which is a Stockholm-based maker of Zyn oral nicotine pouches.”

Photo by Louis Hansel on Unsplash

Our calculations show that Philip Morris International Inc. (NYSE:PM) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Philip Morris International Inc. (NYSE:PM) was in 56 hedge fund portfolios at the end of the second quarter of 2022, compared to 55 funds in the previous quarter. Philip Morris International Inc. (NYSE:PM) delivered a -10.13% return in the past 3 months.

In July 2022, we also shared another hedge fund’s views on Philip Morris International Inc. (NYSE:PM) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.