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XXII

22nd Century Group NasdaqCM:XXII Stock Report

Last Price

US$1.68

Market Cap

US$276.4m

7D

-4.5%

1Y

-57.0%

Updated

15 May, 2022

Data

Company Financials +
XXII fundamental analysis
Snowflake Score
Valuation0/6
Future Growth2/6
Past Performance0/6
Financial Health6/6
Dividends0/6

XXII Stock Overview

22nd Century Group, Inc., an agricultural biotechnology company, focuses on tobacco harm reduction, reduced nicotine tobacco, and enhancing health and wellness through plant science for the life science and consumer products industries.

22nd Century Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for 22nd Century Group
Historical stock prices
Current Share PriceUS$1.68
52 Week HighUS$5.25
52 Week LowUS$1.42
Beta2.02
1 Month Change-20.38%
3 Month Change-27.59%
1 Year Change-57.03%
3 Year Change-17.24%
5 Year Change22.63%
Change since IPO29.23%

Recent News & Updates

May 10
Will 22nd Century Group (NASDAQ:XXII) Spend Its Cash Wisely?

Will 22nd Century Group (NASDAQ:XXII) Spend Its Cash Wisely?

There's no doubt that money can be made by owning shares of unprofitable businesses. For example, biotech and mining...

May 09

22nd Century Group: Record Revenues On VLN Cigarettes And Cannabis IP

22nd Century Group reported $9 million in revenues for Q1-2022, up 33% YoY. The company has released its VLN cigarettes in America (Chicago) and South Korea. The company is bringing in revenues from its cannabis intellectual properties and sale of distillate. The company’s stock price is down 43% YTD and is currently testing new lows. I rate 22nd Century Group as a Hold for now because of extreme market volatility.

Shareholder Returns

XXIIUS TobaccoUS Market
7D-4.5%3.5%-2.5%
1Y-57.0%-74.0%-10.4%

Return vs Industry: XXII exceeded the US Tobacco industry which returned -74% over the past year.

Return vs Market: XXII underperformed the US Market which returned -10.4% over the past year.

Price Volatility

Is XXII's price volatile compared to industry and market?
XXII volatility
XXII Average Weekly Movement8.8%
Tobacco Industry Average Movement15.1%
Market Average Movement7.8%
10% most volatile stocks in US Market16.7%
10% least volatile stocks in US Market2.8%

Stable Share Price: XXII is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: XXII's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199876Jim Mishhttps://www.xxiicentury.com

22nd Century Group, Inc., an agricultural biotechnology company, focuses on tobacco harm reduction, reduced nicotine tobacco, and enhancing health and wellness through plant science for the life science and consumer products industries. It develops very low nicotine content tobacco and cigarette products under the VLN King and VLN Menthol King names; and SPECTRUM research cigarettes for use in independent clinical studies. The company 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$276.42m
Earnings (TTM)-US$36.50m
Revenue (TTM)US$33.19m

8.3x

P/S Ratio

-7.6x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
XXII income statement (TTM)
RevenueUS$33.19m
Cost of RevenueUS$31.31m
Gross ProfitUS$1.88m
Other ExpensesUS$38.38m
Earnings-US$36.50m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.22
Gross Margin5.67%
Net Profit Margin-109.97%
Debt/Equity Ratio0%

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?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


4.77x

Price to Book (PB) ratio

Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate XXII's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate XXII's fair value for valuation analysis.


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 overvalued based on its PB Ratio (4.8x) compared to the US Tobacco industry average (2x).


Future Growth

How is 22nd Century Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


20.6%

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 (62.1% per year) is forecast to grow faster than the US market (8% per year).

High Growth Revenue: XXII's revenue (62.1% 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?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-24.5%

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 24.5% 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 (11.4%).


Return on Equity

High ROE: XXII has a negative Return on Equity (-62.96%), as it is currently unprofitable.


Financial Health

How is 22nd Century Group's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: XXII's short term assets ($45.0M) exceed its short term liabilities ($7.2M).

Long Term Liabilities: XXII's short term assets ($45.0M) exceed its long term liabilities ($1.3M).


Debt to Equity History and Analysis

Debt Level: XXII is debt free.

Reducing Debt: XXII has no debt compared to 5 years ago when its debt to equity ratio was 1.4%.


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 a year based on its current free cash flow.

Forecast Cash Runway: XXII has sufficient cash runway for 1.1 years if free cash flow continues to reduce at historical rates of 13.3% each year.


Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

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.


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as XXII has not reported any payouts.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Jim Mish (57 yo)

1.92yrs

Tenure

US$2,534,484

Compensation

Mr. James A. Mish, also known as Jim, serves as Chief Executive Officer at 22nd Century Group, Inc. since June 22, 2020 and serves as its Director since January 2022 and serves as its Member of Scientific...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD2.53M) is above average for companies of similar size in the US market ($USD1.69M).

Compensation vs Earnings: Jim's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: XXII's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: XXII's board of directors are not considered experienced ( 2.3 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: Insufficient data to determine if 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 7.9%.


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
  • Implied Market Cap: US$276.421m
  • Shares outstanding: 164.54m
  • 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 Analysis2022/05/15 00:00
End of Day Share Price2022/05/13 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.