NEW YORK, Feb 11, 2026, 3:37 PM EST — Regular session
- Philip Morris shares rose about 2% in afternoon trading, outpacing a flat S&P 500 proxy.
- India said it was not considering any change to its 2019 ban on e-cigarettes and heated tobacco devices.
- The next investor focus is a management appearance at the CAGNY conference on Feb. 18.
Philip Morris International shares rose about 2% to $186.30 in afternoon trading on Wednesday, after earlier touching $188.28. The move outpaced a flat S&P 500 ETF, with consumer staples stronger; tobacco peers Altria rose 2.2% and British American Tobacco gained 0.8%.
The shares held gains as investors digested a regulatory setback in India, where the health ministry said it was not considering any relaxation of a 2019 ban on e-cigarettes that also covers heated tobacco devices. The rule keeps PMI’s IQOS — a “heat-not-burn” device that warms tobacco instead of burning it — out of a market that sells more than 100 billion cigarettes a year; Jefferies analyst Andrei Andon-Ionita called an India launch “the next leg of the growth story” as other markets mature. Chief executive Jacek Olczak described the ban as “illogical” because cigarettes remain legal, while Euromonitor estimates PMI’s cigarette share in India rose to 7.6% in 2024 from 1.75% in 2019. (Reuters)
The India headline lands at a moment when PMI is leaning harder on smoke-free products to drive growth. In its Feb. 6 results, the company said full-year net revenue was $40.6 billion, including $16.9 billion from its smoke-free business, and forecast 2026 adjusted earnings per share — a profit measure that strips out certain one-off items — of $8.38 to $8.53. (Philip Morris International)
On the tape, Wednesday’s move looked more like a steady bid than a headline reaction. Tobacco stocks often trade as defensives, and the consumer-staples tone was firm.
Still, India is not a rounding error in the longer story. PMI has pushed smoke-free products as the next growth engine, and India’s stance is a reminder that access can hinge on policy as much as demand.
But the upside case comes with obvious frictions. Regulators can tighten rules quickly, taxes can shift consumption, and new products still need clearances before they can scale.
Investors also have to judge how much of the smoke-free growth is sustainable once competition intensifies, especially in categories such as nicotine pouches and heated tobacco where rivals are spending.
The near-term waypoint is next week. PMI said Olczak and CFO Emmanuel Babeau will speak at the Consumer Analyst Group of New York conference on Feb. 18 at 10 a.m. ET. (Philip Morris International)
