Philip Morris Offering Possible 8.7% Return Over the Next 25 Calendar Days

Philip Morris's most recent trend suggests a bearish bias. One trading opportunity on Philip Morris is a Bear Call Spread using a strike $87.50 short call and a strike $92.50 long call offers a potential 8.7% return on risk over the next 25 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $87.50 by expiration. The full premium credit of $0.40 would be kept by the premium seller. The risk of $4.60 would be incurred if the stock rose above the $92.50 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Philip Morris is bearish and the probability of a decline in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Philip Morris is bearish.

The RSI indicator is at 24.13 level which suggests that the stock is neither overbought nor oversold at this time.

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LATEST NEWS for Philip Morris

Can E-Cigarettes Save Philip Morris International?
Tue, 26 Nov 2013 19:06:06 GMT
Motley Fool – The international tobacco giant has warned that it could face challenging times ahead, but can it follow Lorillard's strategy of using e-cigarettes to diversify?

Should Philip Morris Investors Jump Ship?
Tue, 26 Nov 2013 14:04:47 GMT
Motley Fool – Philip Morris has revealed that earnings growth will be slower than expected during the next few years, but its peers are still forecasting rapid growth.

This Tobacco Company Has Outstanding Dividend Value And 21% Upside Potential
Tue, 26 Nov 2013 12:22:04 GMT
Seeking Alpha – Philip Morris' ( PM ) common shares have been somewhat correcting over the last five month and investors might want to take advantage of what I believe are very attractive prices for long-term oriented …

PHILIP MORRIS INTERNATIONAL INC. Files SEC form 8-K, Other Events
Mon, 25 Nov 2013 21:02:43 GMT

Philip Morris: Was The Sell-Off Overdone?
Mon, 25 Nov 2013 07:59:28 GMT
Seeking Alpha – Last week, I discussed the implications of Philip Morris ( PM ) reducing its short-term expectations for 2014, which the company stated would be an investment year. Philip Morris will look to launch a …

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