What Is PM Fair Value?
Philip Morris International Inc. (PM) fair value estimate using multiple valuation models, updated daily.
As of October 31, 2026, Philip Morris International Inc. (PM) has a composite fair value estimate of $270.21 based on four valuation models: DCF (47% weight), Graham Number (0% weight), PEG (33% weight), and DDM (20% weight). The current market price is $208.79, suggesting the stock is undervalued by 29.4%.
Data as of October 31, 2026 (today)
Composite Fair Value
Undervalued3 of 4 models$270.21
vs. current price of $208.79(+29.4%)
How Is PM Fair Value Calculated?
Four independent models estimate what PM is worth. Each uses different inputs and assumptions. The composite blends them by weight.
PM Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
47% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$295.57
+41.6%Undervalued
Inputs used
DDM (Dividend Discount Model)
20% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$400.45
+91.8%Undervalued
Inputs used
PM Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
0% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
N/A
Requires positive EPS and book value. Philip Morris International Inc. currently has negative earnings, so the Graham formula cannot be applied.
Inputs used
PEG (Price/Earnings to Growth)
33% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$83.53
-60.0%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $208.79 is 41.6% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $12.63B | $11.90B |
| Year 2 | $13.85B | $12.29B |
| Year 3 | $15.18B | $12.69B |
| Year 4 | $16.64B | $13.10B |
| Year 5 | $18.23B | $13.53B |
| Year 6 | $19.99B | $13.97B |
| Year 7 | $21.91B | $14.42B |
| Year 8 | $24.01B | $14.89B |
| Year 9 | $26.32B | $15.37B |
| Year 10 | $28.85B | $15.87B |
| Terminal Value | $808.76B | $445.00B |
What Are PM's Key Financial Metrics?
Earnings & Growth
Current Price
$208.79
EPS (TTM)
$6.85
Forward P/E
23.1
Profit Margin
24.8%
Cash & Balance Sheet
Free Cash Flow
11.5B
EBITDA
20.1B
Book Value
-$5.09
Total Debt
47.7B
What Do Analysts Say About PM?
Low
$175.00
Average
$210.47
High
$230.00
Upside
+0.8%
PM Fair Value FAQ
What is the fair value of PM?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), PM's estimated fair value is $270.21. The stock is currently trading at $208.79, which makes it undervalued by our analysis.
How is PM's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is PM overvalued or undervalued?
Based on our analysis, PM is undervalued. The current price of $208.79 is 29.4% below our estimated fair value of $270.21.
What do Wall Street analysts say about PM?
15 analysts cover Philip Morris International Inc. with a consensus rating of "Buy." The average price target is $210.47, ranging from $175.00 to $230.00. This implies 0.8% upside from the current price.