22nd Century Group, Inc. (XXII) Stock Analysis
Verdict: AVOID
Severe cash burn and aggressive equity dilution destroy equity value faster than niche reduced-nicotine product lines can scale.
Investment score: 14/100
Analysis as of
Is 22nd Century Group, Inc. stock worth reviewing? The TradeMates thesis
The TradeMates model maintains a highly cautious stance on XXII due to chronic cash burn, extreme equity dilution, negative gross margins, and customer loss risks, making it an unviable buy-and-hold candidate.
7-factor investment score
- Valuation: 10/100 (weight 20%)
- Financial Health: 10/100 (weight 15%)
- Technical Momentum: 15/100 (weight 15%)
- Earnings Quality: 10/100 (weight 15%)
- Insider Sentiment: 30/100 (weight 10%)
- Analyst Consensus: 25/100 (weight 10%)
- Risk-Adjusted Return: 10/100 (weight 15%)
22nd Century Group, Inc. opportunities and risks
What speaks for XXII
- FDA Regulatory Tailwinds on Low Nicotine
What speaks against XXII
- Relentless At-The-Market Share Dilution
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| XXII | n/a | 0.0x | 0.4x | -29.7% | -41.3% | -23177.3% |
| UVV | 52.1x | 0.3x | 10.3x | 16.8% | 0.7% | 16.7% |
| ISPR | n/a | 0.8x | 661.4x | 12.8% | -34582.3% | -15.4% |
| PYYX | 2.8x | 0.0x | 6.3x | 14.6% | 1.0% | -154.1% |
| CHUC | n/a | 1.7x | n/a | 27.4% | -7.9% | -10.0% |
| VPRB | 7.9x | 2.7x | 4.3x | 25.1% | 34.1% | 18.4% |
| Peer median | 2.8x | 0.8x | 6.3x | 16.8% | 0.7% | -10.0% |
Frequently asked questions about 22nd Century Group, Inc. (XXII)
Is XXII stock a good investment?
The TradeMates model rates 22nd Century Group, Inc. as AVOID with an investment score of 14/100. The TradeMates model maintains a highly cautious stance on XXII due to chronic cash burn, extreme equity dilution, negative gross margins, and customer loss risks, making it an unviable buy-and-hold candidate. This is algorithmic model output, not personal investment advice.
Is XXII stock a buy?
The TradeMates model verdict for XXII is AVOID with an investment score of 14/100. Treat this as a model signal to review, not a personal buy recommendation.