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XXII

22nd Century GroupNasdaqCM:XXII Stock Report

Market Cap

US$471.9m

7D

-1.4%

1Y

223.3%

Updated

19 Oct, 2021

Data

Company Financials +
XXII fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance0/6
Financial Health6/6
Dividends0/6

XXII Overview

22nd Century Group, Inc., a biotechnology company, develops plant-based solutions for the life science, consumer product, and pharmaceutical markets.

22nd Century Group Competitors

Philip Morris International

NYSE:PM

US$149.3b

Vector Group

NYSE:VGR

US$2.1b

British American Tobacco

LSE:BATS

UK£59.0b

Imperial Brands

LSE:IMB

UK£14.6b

Price History & Performance

Summary of all time highs, changes and price drops for 22nd Century Group
Historical stock prices
Current Share PriceUS$2.90
52 Week HighUS$0.68
52 Week LowUS$6.07
Beta1.94
1 Month Change-4.61%
3 Month Change-12.91%
1 Year Change223.30%
3 Year Change5.84%
5 Year Change110.15%
Change since IPO123.08%

Recent News & Updates

Sep 01

22nd Century: Third Plant-Based Franchise And Record Q2 Revenues

Hops is an essential ingredient for brewing beer and has similar properties to cannabis. XXII announced Monday a new subsidiary in the Netherlands where they will develop partnerships for selling strain specific hops. They will use their partnerships with CannaMetrix and KeyGene to innovate hops genetics. The company reported record revenues for Q2 and expects growth over Q3/Q4 from their hemp/cannabis franchise segment. I rate their stock as bullish and recommend a long-hold position.

Shareholder Returns

XXIIUS TobaccoUS Market
7D-1.4%3.3%4.0%
1Y223.3%24.4%30.5%

Return vs Industry: XXII exceeded the US Tobacco industry which returned 23.4% over the past year.

Return vs Market: XXII exceeded the US Market which returned 30% over the past year.

Price Volatility

Is XXII's price volatile compared to industry and market?
XXII volatility
XXII Beta1.94
Industry Beta0.69
Market Beta1

Stable Share Price: XXII is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: XXII's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
199867Jim Mishhttps://www.xxiicentury.com

22nd Century Group, Inc., a biotechnology company, develops plant-based solutions for the life science, consumer product, and pharmaceutical markets. It develops very low nicotine content tobacco and cigarette products under the Moonlight and Moonlight Menthol names; and SPECTRUM research cigarettes for use in independent clinical studies. 22nd Century Group, Inc. has collaboration with Keygene N.V. to develop hemp/cannabis plants for exceptional cannabinoid profiles and other superior agronomic traits for medical, therapeutic, and agricultural uses, as well as other applications.

22nd Century Group Fundamentals Summary

How do 22nd Century Group's earnings and revenue compare to its market cap?
XXII fundamental statistics
Market CapUS$471.93m
Earnings (TTM)-US$19.83m
Revenue (TTM)US$29.80m

15.8x

P/S Ratio

-23.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
XXII income statement (TTM)
RevenueUS$29.80m
Cost of RevenueUS$27.61m
Gross ProfitUS$2.18m
ExpensesUS$22.01m
Earnings-US$19.83m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.12
Gross Margin7.33%
Net Profit Margin-66.55%
Debt/Equity Ratio3.0%

How did XXII perform over the long term?

See historical performance and comparison

Valuation

Is 22nd Century Group undervalued compared to its fair value and its price relative to the market?

5.4x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate XXII's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate XXII's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: XXII is unprofitable, so we can't compare its PE Ratio to the Global Tobacco industry average.

PE vs Market: XXII is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate XXII's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: XXII is good value based on its PB Ratio (5.4x) compared to the US Tobacco industry average (6.1x).


Future Growth

How is 22nd Century Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-60.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XXII is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: XXII is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: XXII is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: XXII's revenue (65.5% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: XXII's revenue (65.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if XXII's Return on Equity is forecast to be high in 3 years time


Past Performance

How has 22nd Century Group performed over the past 5 years?

-19.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: XXII is currently unprofitable.

Growing Profit Margin: XXII is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: XXII is unprofitable, and losses have increased over the past 5 years at a rate of 19.2% per year.

Accelerating Growth: Unable to compare XXII's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: XXII is unprofitable, making it difficult to compare its past year earnings growth to the Tobacco industry (10.3%).


Return on Equity

High ROE: XXII has a negative Return on Equity (-22.7%), as it is currently unprofitable.


Financial Health

How is 22nd Century Group's financial position?


Financial Position Analysis

Short Term Liabilities: XXII's short term assets ($70.7M) exceed its short term liabilities ($9.2M).

Long Term Liabilities: XXII's short term assets ($70.7M) exceed its long term liabilities ($553.0K).


Debt to Equity History and Analysis

Debt Level: XXII's debt to equity ratio (3%) is considered satisfactory.

Reducing Debt: XXII's debt to equity ratio has reduced from 4.5% to 3% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: XXII has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: XXII has sufficient cash runway for 1.9 years if free cash flow continues to reduce at historical rates of 11.9% each year.


Dividend

What is 22nd Century Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate XXII's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate XXII's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if XXII's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if XXII's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of XXII's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Jim Mish (57 yo)

1.33yrs

Tenure

US$1,259,102

Compensation

Mr. James A. Mish, also known as Jim, serves as Chief Executive Officer at 22nd Century Group, Inc. since June 22, 2020. He has extensive global executive leadership experience in science-driven organizati...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD1.26M) is about average for companies of similar size in the US market ($USD1.70M).

Compensation vs Earnings: Insufficient data to compare Jim's compensation with company performance.


Leadership Team

Experienced Management: XXII's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: XXII's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: XXII insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 17.2%.


Top Shareholders

Company Information

22nd Century Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: 22nd Century Group, Inc.
  • Ticker: XXII
  • Exchange: NasdaqCM
  • Founded: 1998
  • Industry: Tobacco
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$471.933m
  • Shares outstanding: 162.74m
  • Website: https://www.xxiicentury.com

Number of Employees


Location

  • 22nd Century Group, Inc.
  • 500 Seneca Street
  • Suite 507
  • Buffalo
  • New York
  • 14204
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 23:45
End of Day Share Price2021/10/19 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.