Moreover, consumers are currently opting for e-cigarettes or substitutes for cigarettes, thereby affecting cigarette volume. Evidently, the company's top line lagged the Zacks Consensus Estimate in five of the trailing six quarters, including the last reported quarter. As smoking rates are declining in developed countries, the race to replace traditional cigarettes is putting pressure on the tobacco industry. Particularly, serious health hazards due to cigarette smoking have pushed consumers toward low-risk, reduced risk products. Therefore, Philip Morris is aggressively investing in creating smoke-free products such as IQOS (Heatsticks that heat tobacco instead of burning it) in order to boost its business and market share. Meanwhile, it continues to benefit from its strong portfolio of tobacco brands and always managed to remain afloat and generate revenues with higher cigarette pricing.