Philip Morris Stock Plummets 8.43% as Trading Volume Surges to 22nd Ranking Amid Illicit Cigarette Market Woes

On July 22, 2025, Philip Morris International Inc. (PM) experienced a significant decline in its stock price, dropping by 8.43%. The company's trading volume surged to 33.07 billion, marking a 257.71% increase from the previous day and ranking it 22nd in the day's trading volume.

Philip Morris International Inc. reported a rare quarterly sales miss, with total sales rising 7.1% to $10.14 billion in the second quarter, falling short of analysts' average estimate of $10.33 billion. The company attributed this shortfall to the growing illicit cigarette market, which has negatively impacted its business in Indonesia and Europe. The illicit market has cost the EU more than 14 billion euros in tax revenue, highlighting the significant impact of counterfeit cigarettes on the company's performance.

Despite a 15.2% growth in smoke-free products, including Zyn nicotine pouches, the company's overall revenue missed market expectations. Zyn sales rose 41% year over year, but demand did not meet projections, contributing to the stock's decline. The company expressed disappointment in the growth of the illicit cigarette market, which has hindered its ability to meet revenue targets.