Philip Morris Surges Ahead as Boeing Battles Headwinds: Top Stocks to Buy and Sell This Week

In early April 2025, investors face a stark contrast in two major firms: Philip Morris (PM) and Boeing (BA). While Philip Morris thrives on innovation and execution, Boeing grapples with geopolitical turmoil and operational setbacks. Here’s why one is a buy and the other a sell.

Stock to Buy: Philip Morris (PM) – Smoke-Free Growth Ignites Value

Philip Morris is riding a wave of strategic transformation. Its shift from combustible cigarettes to smoke-free alternatives, such as nicotine pouches (Zyn) and heated tobacco devices (IQOS), has become a growth engine. Zyn’s popularity in the U.S. and IQOS’s double-digit shipment growth in markets like Japan and South Korea are driving results.

Analysts project Q1 2025 earnings to rise 7.3% year-over-year to $1.61 per share, with revenue increasing 4% to $9.14 billion. This follows four consecutive quarters of earnings beats, a testament to the success of its $14 billion investment in smoke-free products since 2008.

The stock’s technicals are equally compelling. At $163.21 on April 19, PM has surged 35.6% year-to-date, outpacing the S&P 500’s gains. Its momentum is reflected in a Financial Health Score of “GOOD” (3.1/5.0) from InvestingPro, with robust profit metrics (4.22/5.0) and price momentum (4.52/5.0). The company also reaffirmed its 2025 full-year EPS forecast of $7.04–$7.17, underscoring confidence in its long-term strategy.

Stock to Sell: Boeing (BA) – Geopolitical and Operational Storm Clouds Loom

Boeing faces a perfect storm. A critical market—China—has halted deliveries of its aircraft amid escalating U.S.-China trade tensions. This blow comes as Boeing struggles with production delays, quality control issues, and lingering fallout from the 737 MAX crisis, which has cost the company over $35.7 billion in cumulative losses since 2020.

Analysts have slashed Boeing’s Q1 2025 EPS estimates to -$1.28, worse than the -$1.13 loss in 2024. While revenue is expected to rise 19.8% to $19.8 billion, the company remains mired in cash burn and legal battles. Its Financial Health Score of “WEAK” (1.33/5.0) reflects poor cash flow (1.05/5.0) and lackluster growth metrics (1.14/5.0).

CEO Kelly Ortberg is expected to deliver a cautious outlook for 2025, with options markets pricing in a potential 6.5% swing post-earnings. With shares down 8.5% year-to-date and trading below key moving averages, Boeing’s path to recovery remains fraught with uncertainty.

Conclusion: Growth vs. Crisis – Why PM Wins, BA Loses

Philip Morris’s $254 billion valuation and 35.6% YTD surge reflect investor confidence in its smoke-free pivot. Its execution-driven model, backed by strong EPS growth and technical momentum, positions it as a rare defensive growth play in a volatile market.

Boeing, valued at $121.8 billion, exemplifies the risks of overexposure to geopolitical and operational risks. With a $35.7 billion cumulative loss since 2020, weak cash flow, and a critical market (China) turned hostile, its recovery hinges on factors beyond its control.

In a market buffeted by Trump’s trade policies—where the S&P 500 has fallen 1.5% and the Dow 2.7%—investors are better served with PM’s innovation-driven resilience than BA’s speculative rebound.

Final Verdict: Buy Philip Morris (PM) for its structural growth; sell Boeing (BA) until clarity emerges on its operational and geopolitical challenges.