📊 XXII Key Takeaways
Is 22nd Century Group, Inc. (XXII) a Good Investment?
22nd Century Group exhibits fundamental business deterioration with 27.9% revenue decline, unsustainable 1.6% gross margins, and negative operating cash flow of $7.7M. Despite low leverage and adequate liquidity, the company is burning cash with no clear path to profitability, indicating a structurally broken business model in the declining tobacco sector.
Why Buy 22nd Century Group, Inc. Stock? XXII Key Strengths
- Minimal debt burden with Debt/Equity ratio of 0.04x
- Adequate liquidity with Current Ratio of 2.42x and $7.1M cash on hand
- Improving net loss trend year-over-year (loss narrowed 48.1%)
XXII Stock Risks: 22nd Century Group, Inc. Investment Risks
- Severe revenue collapse of 27.9% YoY with minimal gross margin recovery potential
- Negative operating cash flow of $7.7M and free cash flow of $7.8M indicating unsustainable burn rate
- Extremely thin 1.6% gross margin suggesting structural profitability issues across the business
- Persistent operating losses with -65.8% operating margin and $11.6M operating loss
- No insider buying activity in past 90 days despite distressed valuation signals lack of confidence
- Cash runway appears limited to 2-3 years at current burn rate
Key Metrics to Watch
- Revenue stabilization and gross margin expansion
- Operating cash flow path to positive territory
- Cash burn rate and runway remaining
- Market share trends in regulated nicotine products
22nd Century Group, Inc. (XXII) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.42x current ratio provides a solid financial cushion.
XXII Profit Margin, ROE & Profitability Analysis
XXII vs Market Sector: How 22nd Century Group, Inc. Compares
How 22nd Century Group, Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is 22nd Century Group, Inc. Stock Overvalued? XXII Valuation Analysis 2026
Based on fundamental analysis, 22nd Century Group, Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
22nd Century Group, Inc. Balance Sheet: XXII Debt, Cash & Liquidity
XXII Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: 22nd Century Group, Inc.'s revenue has grown significantly by 458% over the 5-year period, indicating strong business expansion. The most recent EPS of $-45,711.05 indicates the company is currently unprofitable.
XXII Revenue Growth, EPS Growth & YoY Performance
XXII Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2024 | $5.9M | -$1.1M | $-0.55 |
| Q2 2024 | $7.9M | -$1.1M | $-0.21 |
| Q1 2024 | $6.5M | -$5.7M | $-2.94 |
| Q3 2023 | $17.8M | -$8.9M | $-0.94 |
| Q2 2023 | $14.5M | -$8.9M | $-0.95 |
| Q1 2023 | $9.0M | -$8.9M | $-0.05 |
| Q3 2022 | $7.8M | -$4.2M | $-0.06 |
| Q2 2022 | $8.4M | -$4.2M | $-0.03 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
22nd Century Group, Inc. Dividends, Buybacks & Capital Allocation
XXII SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for 22nd Century Group, Inc. (CIK: 0001347858)
📋 Recent SEC Filings
❓ Frequently Asked Questions about XXII
What is the AI rating for XXII?
22nd Century Group, Inc. (XXII) has an AI rating of STRONG SELL with 87% confidence, based on fundamental analysis of SEC EDGAR filings.
What are XXII's key strengths?
Claude: Minimal debt burden with Debt/Equity ratio of 0.04x. Adequate liquidity with Current Ratio of 2.42x and $7.1M cash on hand.
What are the risks of investing in XXII?
Claude: Severe revenue collapse of 27.9% YoY with minimal gross margin recovery potential. Negative operating cash flow of $7.7M and free cash flow of $7.8M indicating unsustainable burn rate.
What is XXII's revenue and growth?
22nd Century Group, Inc. reported revenue of $17.6M.
Does XXII pay dividends?
22nd Century Group, Inc. does not currently pay dividends.
Where can I find XXII SEC filings?
Official SEC filings for 22nd Century Group, Inc. (CIK: 0001347858) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is XXII's EPS?
22nd Century Group, Inc. has a diluted EPS of $-52.87.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is XXII a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, 22nd Century Group, Inc. has a STRONG SELL rating with 87% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is XXII stock overvalued or undervalued?
Valuation metrics for XXII: ROE of -32.1% (sector avg: 15%), net margin of -28.7% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy XXII stock in 2026?
Our dual AI analysis gives 22nd Century Group, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is XXII's free cash flow?
22nd Century Group, Inc.'s operating cash flow is $-7.7M, with capital expenditures of $61.0K. FCF margin is -44.3%.
How does XXII compare to other Market stocks?
Vs Default sector averages: Net margin -28.7% (avg: 12%), ROE -32.1% (avg: 15%), current ratio 2.42 (avg: 1.8).