RESEARCH ALERT-Nomura cuts Philip Morris to Neutral

Source from:  Reuters 07/17/2009

Nomura downgraded Philip Morris International (PM.N: Cotización) to "neutral" from "buy," saying the tobacco company's positive fundamentals following its spin off from Altria Group Inc (MO.N: Cotización) are now priced into the stock. The brokerage said Philip Morris has gained market share -- capitalizing on its renewed competitive stance post its spin-off last year -- and has a flexible capital structure. Marlboro-seller Philip Morris has outperformed peers with the stock up 16 percent since its 2008 results, largely driven by improvements in foreign exchange, Nomura said. The brokerage said Imperial Tobacco (IMT.L: Cotización) was its top pick among cigarette companies. Philip Morris shares were down 1 percent in low volumes at $43.50 in trading before the bell. They closed at $44.03 Wednesday on the New York Stock Exchange. Enditem