UPDATE: Bank Of America Downgrades Philip Morris International Inc.

In a note released early Friday morning, Bank of America analyst Lisa Lewandowski downgraded shares of Philip Morris International Inc. PM from Buy to Neutral and cut the price objective from $91 to $87.

Lewandowski explained since 100 percent of the company's sales are outside the United States but it still reports in U.S. dollars, Philip Morris has been suffering from the increased strength of the U.S dollar relative to other currencies.

In addition to exchange rate costs, Lewandowski is concerned with economic issues in Europe and Latin American, regulatory constraints in Russia, Japan and other markets, and political unrest in the Middle East and parts of Africa. Lewandowski emphasized these are all factors outside of Philip Morris's control and thus she prefers to move to the sidelines.