‘IQOS to revolutionize smoking’

Philip Morris International’s new heat-not-burn technology will revolutionize the tobacco industry, according to Wells Fargo Securities.

Based on a detailed, 10-year analysis of the market potential for PMI’s iQOS platform, Wells Fargo believes it has the potential to change the trajectory of smoking, given the different attitudes toward risk and regulatory constraints on behavior.

Wells Fargo cites iQOS’ superior technology, PMI’s first-mover advantage with commercialization/clinical trials and the company’s ability to leverage its ubiquitous Marlboro brand globally as reasons for its bullishness.

IQOS, Wells Fargo adds, could displace up to 30 percent of the combustible cigarette industry in the developed markets by 2025 and accelerate the premiumization of the overall market.