UBS has upgraded Philip Morris International from "Sell" to "Neutral" following strong first-quarter results and improved margins on smokeless products, leading to a 3% increase in earnings per share estimates and a price target hike to $170. The firm noted robust performance in a challenging macroeconomic environment, with constant currency EPS growth expected at 14.5% for the year, driven by ZYN and favorable cigarette trends, despite a slowdown in IQOS growth. However, UBS anticipates a normalization of growth in 2026, projecting a 9.3% rise in EPS as volume trends soften.