|
|
📈 Join us for LIVE TRADING action all day long in the |
Market Master's Trading Room |
✅Just one click, and you're in! |
|
GM — Jeff Bishop here. I hope you enjoyed all the fireworks at the debate last night! |
I don't think people learned a whole lot about the candidates' policies, but it's good to see how they perform under pressure… |
After all, it's not exactly a low-stress job they're trying out for. |
I found it all pretty entertaining, and now I'm ready to dive in for the day. |
At the top of my watchlist is a small company that could help save millions of lives. |
At the core of every great company is a great idea, and I think this company has started something truly groundbreaking. |
With some tweaks to branding and marketing that are already underway, it could be looking at a very bright future. |
My Hot Stock Idea🔥of the day is 22nd Century Group, Inc. (XXII). |
As you'll see in a moment, this is a very interesting company, but what brought it to my attention right now is it just set off my "old faithful" Gamma Trigger: |
|
You can also see that two AI-powered "GO" signals just fired. |
If this reversal continues playing out, the stock clearly has a lot of room to run even compared to the past month. |
Looking at the chart above, I would lose interest in this if the stock started to trade below the "GO" signals, around $.27. |
On the upside, I think XXII has range to $.45, and possibly even the previous support level around $.70 if things really catch fire here. |
On the business side, XXII has a truly unique selling proposition… |
Headquartered in Mocksville, NC — not far from where I now live — |
the company developed the first market-ready, reduced-nicotine-content tobacco plants, which it uses in cigarettes containing 95% less nicotine. The cigarettes are branded "VLN" which stands for "very low nicotine." |
|
The company received the first and only FDA Modified Risk Tobacco Products (MRTP) authorization for a combustible cigarette in December 2021. |
That authorization is reserved for products that "will significantly reduce harm and the risk of tobacco-related disease to individual tobacco users and benefit the health of the population as a whole." |
As you've probably heard, one of the things that makes cigarettes so addictive is the smoking "ritual." From lighting up to the hand-to-mouth pattern, smoking is a fixation that's difficult to break. |
Some people trying to quit smoking will even start eating things like sunflower seeds to help mimic the ritual. |
The trouble is that traditional "help-you-quit" products such as nicotine gum and patches do not satisfy the ritual. That's where XXII's products come in. |
Using breakthrough, patent-protected IP to control nicotine biosynthesis in the tobacco plant, the company produces cigarettes and similar products with 95% reduced nicotine. |
These products allow users to satisfy the smoking ritual while ultimately setting them on the path to quitting. |
And the company notes: |
"Numerous independent scientific studies, funded largely by the FDA, the National Institutes of Health (NIH), and other U.S. federal government agencies, have demonstrated that using reduced nicotine content tobacco cigarettes helps smokers reduce their nicotine exposure and dependence, smoke fewer cigarettes per day, increase their number of smoke-free days, and double their quit attempts – all with minimal or no evidence of nicotine withdrawal or compensatory smoking." |
One of the government's few successful public health initiatives has been the anti-smoking campaign, which began in 1964. |
Due to aggressive government action, smoking rates fell from 42% of U.S. adults in 1965 to just 11.5% in 2021. |
But the government isn't done yet… |
As part of its "Comprehensive Plan for Tobacco and Nicotine Regulation," the FDA has proposed setting caps on the amount of nicotine allowed in cigarettes. |
As this 2023 article notes, this plan "would prohibit the sale of almost all cigarettes that are currently available on the market." |
It goes on: |
"That is the case because the FDA has authorized the sale of only two very low nicotine cigarettes that are manufactured by 22nd Century Group — VLN King and VLN Menthol King, which have approximately 95% less nicotine than an average cigarette." (emphasis added) |
That's right: If the FDA enacted that rule today, only XXII cigarettes would be authorized for sale in the U.S. |
Thankfully, the company also has a contract manufacturing operations (CMO) side of its business which manufactures low-nicotine products for other brands. |
The company says it "remains committed to licensing its reduced nicotine content technology and products to every tobacco manufacturer, thereby, enabling industry-wide compliance with the FDA's proposed nicotine caps." |
XXII launched its in-house VLN cigarettes in June last year. By November, the cigarettes were retailing in more than 5,100 stores spanning 23 states. |
 | VLN cigarette retailers |
|
Company revenues were up significantly from Q1 to Q2 this year — from $6.5 million to $7.9 million — and thanks to significant cost-cutting, it shrunk its net loss from $21 million in Q2 last year to just $1.6 million this Q2. |
XXII has a goal to become cash positive by Q1 2025, and it is counting on a rebrand/relaunch of its tobacco products to help get it there. |
In a conference call for investors last month, CEO Larry Firestone said that while the company believes it has a product that will change people's lives, new branding is needed "to ensure product presence resonates with smokers so they try the brand and develop brand loyalty." |
 | Current branding |
|
The company also expects to expand its CMO revenue, beginning with an April manufacturing agreement to produce branded conventional cigarettes which was expected to increase carton production volumes at the company's manufacturing facility by more than 20 percent once fully implemented. |
And in July, XXII announced "a new agreement for full-scale commercial rollout of its VLN® reduced nicotine content cigarettes in South Korea." |
Those are some things that jumped out to me about the company. As you do your own research, be sure to check out this newly released investor presentation. |
And of course, always approach your trading in a responsible manner. Trading is very risky, and nothing is ever guaranteed, so never trade with more than you can afford to lose. |
Please read the full disclaimer at the bottom of this email as well so you are aware of additional risks and considerations. Always have a well-thought-out game plan that takes your personal risk tolerance into consideration. |
Bottom line: XXII has set off my Gamma Trigger as well as two "GO" signals and has a lot of room to run. Be sure to keep it at the top of your list of stocks to watch today. I think it should be very interesting. |
To Your Success, |
|
Jeff Bishop |
P.S. Make sure you join me and over 1000 traders in the Market Master's trading room today for live trading signals and education. You can access it at no cost right now. |
|
👊 Make sure you are getting my mobile text alerts – text "RAGE" to 1-(888) 404-5747 to get all of my latest HOT STOCK ideas delivered right to your phone (make sure you put the "1" at the front!). Don't miss out! |
|
|
Questions or concerns about our products? Email Support@ragingbull.com © Copyright 2022, RagingBull |
|
*Just so you know, what you're reading is curated content for which we have received a monetary fee (detailed below) to create and distribute. Let's be clear that investing can be quite the roller coaster as stock prices can have wild swings up and down, so consider those crucial risks before you ever consider trading anything we discuss. Make sure you check out our full disclosure down below for the details on how we were paid, the risks, and why these results aren't what you'd call "typical." |
Just a quick heads up about this ad you're reading—as we've said, even though we like the company referenced above, and all the facts we discussed above are true to the best of our knowledge, we are running a business here. To distribute this information and help offset the costs of maintaining our large digital audience, in advance of writing the content above, we received fifteen thousand dollars (cash) from Shore Thing Media for advertising 22nd Century Group, Inc for a one day marketing program on September 11, 2024. This was paid by someone else not connected to 22nd Century Group, Inc. It might be obvious, but whoever paid for this might own shares and is likely looking to sell some or all of them at any time after we send out this information, which might affect the stock price. We may also buy or sell shares in the company at some point in the future, although neither RagingBull nor its owners own any shares of the company at this time. Also, keep in mind that due to the sheer size of our audience, if even a small percentage of people decide they want to buy this stock, it could potentially boost interest enough to hike up those share prices and cause a temporary spike, and the opposite is possible as our program ends, though that is not always the case. |
Now, diving right into 22nd Century Group, Inc might sound exciting. But remember, it's like venturing into the wilderness—be aware that there's exceptional risk involved in trading. This isn't small potatoes we're talking about; you could lose every dime you put in, so always carefully think about what you're doing. That's why they call this trading, after all. We're shining a light on the good stuff about the company here, but it's on you to do your homework, make your own calls, and determine a plan for your own trading, hopefully with the help of your professional 1nvestment advis0r. |
Oh, that brings us to another crucial point—we're not here to tell you (or even recommend) what you should do with your hard-earned money. We're simply sharing our non-expert thoughts by highlighting some companies we like that could use some help telling their story to more people. We're obviously biased in our writing. We're not here to dig into anything that may be negative about the company; this is advertising, after all! Also, keep in mind that if we make some predictions about the future, these are technically known as "forward-L00king statements" under the securities acts, so take those with a grain of salt. As with all forecasts, they're not set in stone, often wrong, and we certainly can't know where the Company's earnings, business, or share price will be tomorrow or a year from now. |
Everything you read from us is all for your education, information, and possible entertainment. While we believe the info is reliable and accurate, we can't wear a cape and guarantee it. Before you jump into anything, make sure to talk it over with a pro—someone you trust who's licensed to give you real advice. To be clear, |
Neither Raging Bull nor its owners, employees, or independent contractors are registered as a secur1ties br0ker-dealer, br0ker, 1nvestment advis0r (IA), or IA rep's with the SEC, any state securities regulat0ry authority, or any self-regulat0ry organization. |
So, that's the scoop! If you're intrigued and want to learn more about the companies we talk about, hit up the SEC's website to dig into their filings and see the full picture. |
|
Post a Comment
Post a Comment