Philip Morris International Inc. PM hopes to market the IQOS cigarette as a less harmful alternative to cigarettes, but it
The Analyst
Height Securities' Stefanie Miller.
The Thesis
The Tobacco Products Scientific Advisory Committee rejected the claim that IQOS device can reduce the risk of tobacco-related diseases. Despite the negative news, the analyst said she expects that
Philip Morris' request is in-line with FDA Commissioner Scott Gottlieb's tobacco agenda.
She doesn't find the TPSAC's vote surprising, because the questions they were asked Thursday were "specifically phrased."
Center for Tobacco Products and Philip Morris can use the feedback they received Thursday to work together and make revisions to the company's application.
The hearing was focused only on whether the company will be allowed to make claims of reduced risk if IQOS gets approved for the U.S. distribution, said Miller. Whether it will be permitted to sell the product is going to be decided at a different hearing next month, the analyst said. It is important to understand that TPSAC has no regulatory jurisdiction and it only advises the CTP on various questions it may have, according to Height Securities.
The Price Action
Philip Morris jumped 2.50 percent Friday after dropping 2.81 percent Thursday.
Related Links:
What Were Once Vices Are Now Dividends: A Sinful New ETF
Photo courtesy of Philip Morris.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.
All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.
Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.
Rate collection and criteria: Click here for more information on rate collection and criteria.