PM

Philip Morris International (PM) reported Q3 2026 adjusted EPS of $2.36 (up 5.4% YoY) and revenues of $11.44 billion (up 5.5% YoY), both beating consensus estimates. Strong combustible pricing and smoke-free product demand, particularly ZYN in the U.S., drove growth. The company raised its 2026 adjusted EPS guidance to $8.29-$8.44 and maintained its 5-7% organic revenue growth forecast, while also increasing its quarterly dividend by 8.8%.

The iShares U.S. Consumer Staples ETF (IYK) is a passively managed fund with $1.64 billion in assets, offering broad exposure to the Consumer Staples sector with a 0.37% expense ratio and 2.44% dividend yield. The fund has gained 17.36% year-to-date and 14.24% over the past year, with top holdings including Procter & Gamble (13.63%), Coca-Cola, and Philip Morris International. It carries a Zacks ETF Rank of 3 (Hold) and is considered a medium-risk option with a beta of 0.40.

Zacks analysts reviewed Q3 earnings season results showing 38 S&P 500 companies with +48.7% earnings growth (boosted by Micron) and 84.2% EPS beat rate. Featured stocks include NVIDIA benefiting from AI infrastructure demand, Philip Morris transitioning to smoke-free products, Home Depot facing housing affordability headwinds but investing in digital initiatives, and microcap CPI Aerostructures showing strong defense revenue growth despite liquidity concerns.