22nd Century Group Inc. (NASDAQ:XXII) shares jumped 64.22% to $1.03 in after-hours trading on Thursday, after the company reported a sharp increase in retail sales of its low-nicotine cigarettes.
On Thursday, the North Carolina-based tobacco products company announced that combined same-store retail unit sales of Pinnacle VLN and Pinnacle Pure rose 161% from the second to the third quarter. Same-store sales measure results at existing locations. The figures come from its launch retail partner, which operates about 1,500 outlets.
CEO Points to Consumer Switching
The company attributed the growth to rising consumer awareness and recent marketing and promotional activity.
CEO Larry Firestone said, “These results are encouraging evidence of consumer demand for Pinnacle VLN and Pinnacle Pure.”
Firestone said the growth in Pinnacle VLN and the launch of Pinnacle Pure demonstrate “the consumer’s willingness to change brands” as smokers seek alternatives to nicotine and to quarterly price increases from major brands.
Pinnacle VLN, available in regular and menthol varieties, has been on the market for about a year. The company has recently added Pinnacle Pure, a cigarette made with tobacco and water. According to the company, its proprietary tobacco plants contain 95% less nicotine than conventional tobacco plants.
Trading Metrics, Technical Analysis
22nd Century Group has a market capitalization of approximately $445,550. Its stock has traded between a 52-week high of $540 and a 52-week low of $0.56.
XXII has a Relative Strength Index (RSI) of 23.50.
Over the past 12 months, the small-cap stock has fallen 99.86%.
Price Action: On Thursday, XXII stock closed at $0.63, down 3.60%, according to Benzinga Pro data.
Benzinga’s Edge Stock Rankings indicate 22nd Century Group stock has a negative price trend across all time frames.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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