Your Tuesday Update On NYSE American Profile (XXII)
XXII had a rollercoaster of a day yesterday.
Opening at $5.42, XXII shot up to $6.07 for an approximate 11% move.
From there it created quite the swing opportunity from a day low of $4.67 to an afternoon high around $5.59 for an approximate move of 19%.
Closing in the green Monday, XXII requires your attention again today as that strong close may signal a continued vertical surge Tuesday.
Why? Did you see yesterday's news? Read it here: 22nd Century Delivers 3.6 Million Variable Nicotine Content Research Cig-ar-ettes for Independent Scientific Studies
Between that solid news and all of its bullish technicals, XXII needs to remain on your radar today.
If you haven't read my initial report below, do so now and keep a close eye on XXII.
There's no time to waste as the markets just opened.
Recently, I brought you a Nasdaq profile that opened at $2.09 on 4/14 before climbing to a high of $2.73 one day later.
That short term surge resulted in a move of approximately 30%.
Right after that, I brought another Nasdaq profile to your attention on 4/20 which proceeded to run from an open of $3.38 to a high of $4.08.
That intraday run resulted in a move of approximately 20%.
Overall, two different Nasdaq ideas and an approximate 50% in short term runs combined.
Now, I want you to turn your full focus to a new NYSE American profile this morning because it could be on the verge of a major breakout.
For Monday, April 26th, there is one profile to have at the top of your watch-list:
22nd Century Group, Inc. (XXII)
22nd Century Group, Inc. (NYSE American: XXII) is a leading plant biotechnology company focused on technologies that alter the level of nicotine in to-bacco plants and the level of canna-bin-oids in hemp/can-na-bis plants through genetic engineering, gene-editing, and modern plant breeding.
22nd Century’s primary mission in to-bacco is to reduce the harm caused by smoking through the Company’s proprietary reduced nicotine content to-bacco smokes – containing 95% less nicotine than conventional smokes.
This leads us to the top potential driver indicators for XXII:
No. 1 Potential XXII Driver Indicator - The Creation Of VLN
22nd Century could be disrupting an approximately $817Bn to-bacco market and catering to an underserved segment of the population looking to quit.
Of the approximately 1 billion adult smokers in the world today, and roughly 34Mn U.S. adult smokers, about ⅔ want with less than an estimated 10% successfully doing so.
So, what did 22nd Century do? Created VLN.
VLN is a unique, proprietary, approximately 95% reduced toxin combustible smoke alternative. It is simply unlike any other to-bacco product in the market today. Don’t take my word for it, though. Talk to the consumers. According to 22nd Century’s consumer perception studies, about 60% of adult smokers indicated a likelihood to use VLN.
What seems to be exciting people so much about VLN?
For one, VLN has a familiar combustible product format that replicates the conventional smoking experience, including the sensory and experiential elements of taste, scent, smell, and “hand-to-mouth” behavior.
VLN also contains approximately 0.5 mg of toxins per gram of to-bacco. Based on clinical studies, the FDA cited this amount to be “minimally or non-addictive.”
Plus, since 2011, 22nd Century’s reduced toxin smokes have been used in more than approximately 50 independent scientific clinical studies conducted by universities and institutions and primarily funded by U.S. government agencies at over an estimated $100Mn.
These science-backed clinical trials already show encouraging results. Many of these results include the following:
- Reduced toxin exposure and dependence
- Partake in fewer smokes per day
- Experience reduced withdrawal symptoms
- Minimal or no compensatory smoking
- Increase number of smoke-free days
- Double quit attempts
- No increase in adverse effects in persons with mental health disorders
Because of these encouraging results, VLN might be on the cusp of receiving final FDA approval for an MRTP designation.
The FDA has already authorized 22nd Century to sell its reduced toxin content smokes in the U.S. However, with an MRTP designation, VLN could carry the headline claim of “95% less toxins” on packaging and market the product under the brand name VLN, distinguishing the product from conventional smokes.
An MRTP designation can potentially unlock multiple U.S. and international licensing and partnership openings for reduced toxin content to-bacco technology and IP. This type of FDA authorization is considered the gold standard in public health by regulators around the world.
The company is highly confident that the FDA is in the final stages of the review process. For now, though, it will continue working with legal advisers, regulatory consultants, and government affairs specialists to highlight the public health importance of MRTP application.
Because the company knows it could be on the cusp of something groundbreaking, it’s already prepared for a full commercial launch. In fact, if/when the FDA grants that MRTP application to 22nd Century, it’s fully prepared to already manufacture approximately 1% of the U.S. to-bacco market share through an entire company-owned manufacturing facility. If the company wants to, they could potentially triple manufacturing capacity with minimal investment, too.
Within 90 days of receiving MRTP authorization, the company expects an initial roll-out of VLN in select markets, with a plan to position VLN in the premium pricing segment of the smokes market.
The company is already in advanced discussions with many independent, regional, and national retailers. 22nd Century is also developing plans to build and scale VLN through licensing opportunities and strategic partnerships and plans to accompany the launch with a strong marketing campaign.
Find Key VLN Details Here.
No. 2 Potential XXII Driver Indicator - Bullish Technical Indicators Galore
As of close Friday, XXII was displaying a multitude of triggered technical indicators on Barchart. Check these out:
Short Term Indicators
- 20 Day Moving Average
- 20 - 50 Day MACD Oscillator
- 20 - 100 Day MACD Oscillator
- 20 - 200 Day MACD Oscillator
Medium Term Indicators
- 50 Day Moving Average
- 50 - 100 Day MACD Oscillator
- 50 - 150 Day MACD Oscillator
- 50 - 200 Day MACD Oscillator
Long Term Indicators
- 100 Day Moving Average
- 150 Day Moving Average
- 200 Day Moving Average
- 100 - 200 Day Moving Average
Barchart also recognizes XXII as a "100% BUY" in the short, medium, and long term with an "100% BUY" designation overall.
Additionally triggered as "BUY" is Barchart's "TrendSpotter" composite indicator.
No. 3 Potential XXII Driver Indicator - Trading Over Strong Potential Support/Red Hot Chart
Take a look at XXII's 6-month chart: