Philip Morris International Inc. (NYSE: PM)
A class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of those who purchased shares of Philip Morris International Inc. (NYSE: PM), between February 8, 2018 to April 18, 2018(the "Class Period").
The complaint alleges that during the Class Period, defendants made false and misleading statements and/or failed to disclose adverse information regarding the Company’s business and prospects, including that Philip Morris was experiencing a faster decline in overall cigarette and e-cigarette (or “heated tobacco”) sales volumes during the first quarter of 2018 than investors had been led to believe, that its much-lauded sales initiatives had stalled, and that it was experiencing adverse sales headwinds in key markets. As a result of these misrepresentations, Philip Morris stock traded at artificially inflated prices during the Class Period, reaching a high of $109 per share. In addition, while the Company’s stock price was artificially inflated, the Company’s CEO sold 49,000 shares of his Philip Morris stock at these artificially inflated prices for proceeds of more than $5 million.
Then, on April 19, 2018, Philip Morris issued a press release announcing disappointing results for the Company’s first quarter of 2018. Against its easiest prior-year comparison, the Company reported that combined cigarette and heated tobacco unit shipment volume had declined by 2.3% during the quarter. The Company also stated that key sales initiatives had stalled, as the Company’s heated tobacco unit growth had plateaued due to market demographics and faltering consumer conversion tactics and, further, that cigarette shipments had fallen by 5.3% during the quarter, signaling persistent adverse trends in the business. On this news, the price of Philip Morris stock declined $15.80 per share, or more than 15%, to close at $85.64 per share on April 19, 2018.
If you are a current shareholder and/or purchased stock between February 8, 2018 to April 18, 2018 and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.
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