http://www.tobacco.org/newsfeed/category/investing.rss Latest top tobacco news headlines en-us http://www.rightsideadvisors.com/public/commentary.go/rsa/commentary/comm-funds/20080516_112936_msg.html/INVESTING-IN-TOBACCO.html http://tobacco.org/news/265362.html Still, smoking rates in Beijing are lower than the national average, and have fallen since the 1990s when limited restrictions were first put in place. According to a study by the Capital Medical University in Beijing, the proportion of smokers in the capital dropped from 34.5% in 1997 to 23% last year. But those who keep at it can be a stubborn lot. When Meizhou Dongpo, a restaurant chain, tried to implement a total smoking ban at its Beijing outlets last October, it saw a rapid and drastic decline in its business. The chain's waitresses found themselves locked out of private dining rooms by renegade puffers. So, while the authorities have even encouraged citizens to rat on violators through a new telephone hotline, resistance from dedicated nicotine fiends, as well as worried restaurants--originally to be covered by an outright ban--has already led to a watering down of the restrictions. As rich countries have clamped down on smoking, tobacco firms have shifted their focus to less developed places. The tobacco industry is regrouping in order to focus on "promising" markets and escape the pesky lawsuits it is likely to face in rich, litigious countries. China is now home to more than a quarter of the world's smokers, and it will soon be manufacturing one of the world's leading cigarettes for the second largest seller of cigarettes in the world, a firm that will also be exporting Chinese tobacco to other countries. Selling cigarettes is an extremely profitable business and the Chief Financial Officer of this tobacco group has just spent over $1 million of his own money buying his company's shares. To know more, and why this company's stock looks attractive, read Insider Moves. Rightside Advisors China Fri, 16 May 2008 04:00:00 GMT http://www.canada.com/vancouversun/news/editorial/story.html?id=665e0eeb-e48f-4ba6-9921-85db1fb390d6 http://tobacco.org/news/265348.html This doesn't make sense. While the provincial government has been fighting for the right to sue tobacco companies to recover health-care costs in the Supreme Court of Canada, the British Columbia Investment Management Corp., a Crown corporation, has been pouring hundreds of millions of dollars into tobacco stocks. Its investments in tobacco stocks had a market value of more than $385 million in 2007. Established in 1999, BCIMC manages more than $83 billion in assets, including $64 billion administered on behalf of public-sector pension funds. Its clients also include the province of British Columbia, public trusts and insurance funds. . . . But should a Crown corporation be using public sector pension fund contributions to buy stocks in tobacco companies and foreign military contractors? There may be wide differences of opinion on the issue of military contractors, but I seriously doubt that a majority of B.C. residents would defend the tobacco investments. The right thing to do is for the B.C. Investment Management Corp. to divest itself immediately of all tobacco stocks. Those investments are an embarrassment to the government and a serious health hazard for the rest of us. Vancouver Sun sunnewstips@png.canwest.com (Gordon Keast, The Vancouver Sun) Canada Thu, 15 May 2008 04:00:00 GMT http://www.independent.co.uk/news/business/sharewatch/the-investment-column-bat-strikes-it-lucky-with-steady-market-of-a-billion-smokers-822853.html http://tobacco.org/news/265039.html As the Western market looks increasingly mature, the emerging markets are the big battleground, and BAT is well placed, currently operating in 180. Yet there are other reasons to believe that tobacco may be good for your portfolio's health, if not that of its consumer. Despite an ever more health-conscious market and cigarette advertising banned worldwide, revenues from cigarettes are unlikely to spiral. The World Health Organisation said that despite falls in consumption levels, today's level of one billion consumers is likely to remain constant as population rates soar. In the past few years, companies have also noticed that smokers have enjoyed the benefits of a buoyant economy and traded up to premium, and consequently more expensive, brands. Outside the closed Chinese market, BAT is the second largest group in the world, behind Marlboro-maker Philip Morris. Profits look set to remain healthy . . . In the satirical movie Thank You For Smoking the boss of a tobacco lobbyist sums up by saying: "We don't sell tic tacs, we sell cigarettes. And they're cool, available, and 'addictive'. The job is almost done for us." BAT will always have a market and good cash generation, and should rise out a consumer slowdown in the wider market. Buy. The Independent Sat, 10 May 2008 04:00:00 GMT http://www.macleans.ca/article.jsp?content=20070410_171959_10740&source=srch http://tobacco.org/news/264387.html The University of Toronto is the latest university to alter its investment portfolio, citing ethical concerns. With yesterday's announcement to divest millions in tobacco stocks, U of T became the first educational institution in Canada to boycott the tobacco industry. A student activist who successfully campaigned to have U of T sell off its tobacco investments says other Canadian schools should follow suit and end the "unethical practice." "We hope that other institutions will get a clear message that investing in tobacco companies is an unethical practice and it's something that should not be done," Tyler Ward, president of Education Bringing Youth Tobacco Truths(E-BUTT). Macleans Magazine Canada Thu, 10 Apr 2008 04:00:00 GMT http://www.forbes.com/feeds/ap/2008/04/16/ap4895767.html?partner=alerts http://tobacco.org/news/263479.html A JPMorgan analyst thinks taxes and government regulation could hurt Altria's profit in 2009, and he downgraded the cigarette maker's shares. Erik Bloomquist cut his rating to "Neutral" from "Overweight" and removed the stock from a list of recommended securities. While he expects Altria to reach the high end of its profit estimate this year, he said an increase in the federal cigarette tax and greater Food and Drug Administration regulations are likely. AP Wed, 16 Apr 2008 04:00:00 GMT http://online.barrons.com/article/SB120785874563005785.html?mod=9_0031_b_online_exclusives_right http://tobacco.org/news/263426.html TOBACCO STOCKS HAVE TRADED roughly in line with the market (both down 8%) -- a disappointment to us and many investors. We believe tobacco stocks have been weighed down by accelerating volume declines, a potential federal excise tax increase in 2009, state excise tax increases and a potential Democratic president. On a total return basis, tobacco has done slightly better due to the sector's 5% average dividend yield versus 2% for the Standard & Poor's 500. Needless to say, the sector is not performing the way we had expected. We have trimmed our 2008 earnings-per-share estimates Barron's onlinesupport@barrons.com Wed, 16 Apr 2008 04:00:00 GMT http://biz.yahoo.com/ap/080402/ust_mover.html?.v=1 http://tobacco.org/news/262689.html Analyst Judy E. Hong lowered her rating to "Neutral" from "Buy" and took the stock off the Americas Buy List. She said in a note to investors the shares have "limited upside potential" compared to tobacco competitors Altria Group Inc. and the newly spun-off Philip Morris International Inc. AP Wed, 02 Apr 2008 04:00:00 GMT http://money.cnn.com/news/newsfeeds/articles/newstex/AFX-0013-24214533.htm http://tobacco.org/news/262504.html The senior vice president of human resources at cigarette maker Philip Morris (NYSE:MO) International Inc. bought 36,000 shares of stock, according to a Securities and Exchange Commission filing Tuesday. In a Form 4 filed with the SEC, Daniele Regorda reported she bought the shares for $48.78 to 49.87 apiece on Friday, the day Philip Morris was spun off from its former parent, Altria Group. CNN/Money Wed, 02 Apr 2008 04:00:00 GMT http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a68lEGIa.8Bo http://tobacco.org/news/262426.html Altria Group Inc., the largest U.S. tobacco company, fell the most in 18 months after Morgan Stanley lowered its rating on the stock on concerns management won't aggressively buy back shares and cut costs after spinning off its international division last week. A plan by Altria, the maker of top-selling Marlboro, to buy back $7.5 billion in stock over the next two years fell $2.5 billion below Morgan Stanley analyst David Adelman's expectation. Adelman said in a note to investors today that he downgraded Altria to ``equal-weight'' from ``overweight'' Chief Executive Officer Michael Szymanczyk probably won't increase the pace of buybacks or cut more costs, and the company isn't likely to spin off its 28.6 percent stake in brewer SABMiller Plc to generate cash, the analyst said. Bloomberg News cburritt@bloomberg.net (Chris Burritt) Tue, 01 Apr 2008 04:00:00 GMT http://www.theglobeandmail.com/servlet/story/RTGAM.20080401.WBmarkets20080401154508/WBStory/WBmarkets http://tobacco.org/news/262421.html Defensive tobacco stocks look passé on a day when investors are scooping up high-growth stocks that will benefit from a bull market and renewed economic growth. But that doesn't mean Philip Morris International Inc. will stay tossed aside for long. Jonathan Fell, an analyst at Deutsche Bank, initiated coverage on the stock with a "buy" recommendation and a 12-month target price of $57 (U.S.). The company, the result of a recent spin off from Altria Group Inc., which separated the company's domestic and international operations, traded at $50.02 in New York on Tuesday, down 56 cents or 1.1 per cent. Globe and Mail Tue, 01 Apr 2008 04:00:00 GMT http://www.chron.com/disp/story.mpl/ap/fn/5662132.html http://tobacco.org/news/262400.html Analysts from Lehman Brothers and Stifel Nicolaus initiated coverage of Philip Morris International with "Buy" ratings, saying the cigarette maker will be insulated from the threat of U.S. lawsuits and slowing sales. The split of Altria's cigarette operations into foreign and U.S. units frees Philip Morris International from public-relations concerns and possible lawsuits and allows it to concentrate on expanding its line of cigarette products to markets in developing countries. . . . Other tobacco companies made gains on Monday. AP help@chron.com Mon, 31 Mar 2008 04:00:00 GMT http://www.chron.com/disp/story.mpl/ap/fn/5665381.html http://tobacco.org/news/262399.html Shares of Altria Group Inc. dropped Tuesday after a Morgan Stanley analyst downgraded the stock on its first trading day after spinning off its Philip Morris international business. Shares fell 98 cents, or 4.4 percent, to $21.22 in afternoon trading. Analyst David J. Adelman lowered his rating to "Equal Weight" from "Overweight" and said in a note to investors that that the company's prospects for outperformance have diminished. AP help@chron.com Tue, 01 Apr 2008 04:00:00 GMT http://www.streetinsider.com/New Coverage/Deutsche Bank Starts Philip Morris International (PMI) at Buy/3505876.html http://tobacco.org/news/262385.html The firm said, "PMI, the world's largest publicly-traded tobacco company, should be an attractive stock to investors looking for steady, cash-rich growth in turbulent times. We expect the stock to generate consistent high single-figure EPS StreetInsider.com, Tue, 01 Apr 2008 04:00:00 GMT http://www.fool.com/investing/international/2008/03/31/the-marlboro-man-is-finally-free-to-roam.aspx http://tobacco.org/news/262297.html Altria (NYSE: MO) completed the long-awaited spinoff of its subsidiary Philip Morris International (NYSE: PM) last Friday, and the Marlboro Man is finally free to roam the globe unfettered by the legal and marketing shackles of the U.S. domestic market. Benefits for both the slimmer Altria and the new international company will be realized, but I think the international division will flourish on its own thanks to its leadership position in the international cigarette market and the strength and marketing potential of its global brand. A global giant Philip Morris International, or PMI, is the world's leading tobacco company and the third most profitable international consumer goods company. It generated revenue in excess of $55 billion and operating profit of roughly $8.9 billion in fiscal 2007. Motley Fool wfrankenhoff@yahoo.com (Will Frankenhoff) Mon, 31 Mar 2008 04:00:00 GMT http://www.guardian.co.uk/feedarticle?id=7425245 http://tobacco.org/news/262294.html Shares of Philip Morris International Inc, the world's largest non-state-owned cigarette maker, rose as much as 5 percent on Monday morning in their first day of trading after the company was spun off from Altria Group Inc. The shares were up $1.94 to $53.00 and traded as high as $53.70. Altria shares were up 23 cents, or 1 percent, at $22.99. Investors have long anticipated the Philip Morris International spinoff as a way to get a pure play on the growing overseas tobacco business without being tied to a shrinking U.S. cigarette market. The company trails only state-run China National Tobacco Co in terms of global market share. Reuters Mon, 31 Mar 2008 04:00:00 GMT