|Bid||0.00 x 1400|
|Ask||46.26 x 1200|
|Day's Range||45.93 - 46.53|
|52 Week Range||42.40 - 66.04|
|Beta (3Y Monthly)||0.35|
|PE Ratio (TTM)||13.81|
|Earnings Date||Oct 31, 2019|
|Forward Dividend & Yield||3.20 (6.95%)|
|1y Target Est||57.67|
Altria (MO) stock has lagged the broader market in 2019. On August 17, the CDC noted that it is investigating lung diseases linked to e-cigarette use.
As JUUL begins to look vulnerable, a slew of challengers to the vape crowd are emerging. Who Wants the Smoke? JUUL, which is owned by nicotine kings and Marlboro manufacturers Altria, has faced criticism from lawmakers for (among other things) marketing its product to teenagers. The anti-smoking advocacy group Truth found that 15- 17-year-olds are over 16 times likelier odds to be JUUL users compared to those aged 25-34. In response to a “request” from the Food and Drug Administration, JUUL pulled its teen-friendly fruit-flavors from retailers, though they are still available online. But JUUL’s competitors, sensing an opportunity, have moved to fill the void. NJOY To the World The independent New York company NJOY sells its e-cigarettes for 99 cents in stores, as opposed to the $7.99 it charges online, or JUUL’s online cost of $34.99. When it comes to electronic cigarettes, users buy the device once, and the companies make money in the long run from the sale of “pod” refills, which tend to not be interchangeable with other devices. The steep discount is seen as a clear way to get customers to switch over. Despite the criticism JUUL faced, NJOY continues to offer fruit flavors such as watermelon twist and blueberry. Feeling Blu Other e-cigarette competitors are following NJOY’s lead and offering deep discounts to lure customers to try their brand, British American Tobacco’s Vuse offers Alto vapes for 99 cents online, down from $24.99, as a bonus when someone buys a pack of pods, and the Miami-based mobile company Blu is offering their myblu device for $1, down from the normal $19.99. But…. JUUL still dominates the e-cigarette market at 71.4%. The electronic cigarette industry is booming, but considering that JUUL is beset on all sides by criticisms from lawmakers (the Center for Disease Control recently announced an investigation into a “cluster” of lung illnesses that could possibly be related to e-cigarette use) and further legal restrictions and investigations could be forthcoming, it might not be the safest investment. -Michael Tedder Photo: Mike Blake/Reuters
Soon countries all over the world may one day have their very own “Juul rooms,” as the embattled e-cigarette company is looking to expand their markets overseas. Vapor Trails JUUL Labs has filed paperwork with the Securities and Exchange Commission revealing that it has raised $325 million in equity from investors to expand its operations across the globe. Nicotine kings Altria own 35% of JUUL, which dominates the electronic cigarette game, with control of 71% of the U.S. market. But heavy is the head that wears the crown, as plenty of political leaders aren’t too happy with the company’s success. Crown JUUL? After news began to spread that America’s teenagers are rapidly beginning to get hooked on JUUL (so much so that the CEO Kevin Burns apologized to parents, and the New York Times reported that 21% of high school students say they’ve vaped within the past 30 days), the Food and Drug Administration began cracking down on e-cigarette sales, and states such as Connecticut and North Carolina have begun investigating the company’s attempts to market to young people. And now the Center for Disease Control has weighed in, announcing an investigation into a “cluster” of lung illnesses that could possibly be related to e-cigarette use. The CDC said 14 states have reported 94 different cases of "severe pulmonary disease" that could possibly be related to vaping, mostly among teens and young adults. The FDA is also investigating reports of seizures amongst e-cigarette users. Flee The Scene While many companies look to expand their reach across the globe, this is a pattern for JUUL, which began expanding into South Korea, the Philippines, and Indonesia after the company’s hometown of San Francisco, approved an ordinance to ban the sale of e-cigarettes until companies get approval from the U.S. Food and Drug Administration. -Michael Tedder Photo by Mike Segar/REUTERS
Every investor in Altria Group, Inc. (NYSE:MO) should be aware of the most powerful shareholder groups. Institutions...
The company did not break out the ratio of equity and debt offered, but a source familiar with the matter told Reuters that Juul sold convertible debt in a bridge financing to bolster its balance sheet. Juul, 35% owned by Marlboro maker Altria Group Inc , has over the past year focussed its efforts on growing outside the United States, as American regulators increase oversight of e-cigarette products that are wildly popular among teenagers. The company launched its products in South Korea, Philippines and Indonesia at around the same time the city of San Francisco, where Juul is headquartered, approved an ordinance to ban the sale and distribution of e-cigarettes until manufacturers get approval from the U.S. Food and Drug Administration.
Altria (MO) stock has dipped roughly 5% so far in 2019, underperforming the broader market. MO stock is trading about 10% above its 52-week low price.
Canadian cannabis company Cronos Group Inc. (CRON.TO)(CRON) expects wider core losses in the second half of 2019 as spending on next generation products continues to rise.
Investors will focus on Cronos' (CRON) regular top and bottom-line numbers along with its pipeline progress when it reports second-quarter results.
The tobacco giant's $1.8 billion investment isn't going up in smoke. Cronos appears to be using its big cash stockpile wisely.
So the popular e-cigaratte company JUUL is doing great business these days. But the problem is that they’re doing great business... with high school students. The Kids Aren’t All Right JUULing has become so popular with teenagers that “JUUL rooms” has become the hip slang term for high school bathrooms. The problem seems to be that because e-cigarettes are, technically, safer than traditional cigarettes, a lot of kids seems to be under the mistaken idea that they are safe, period. The New York Times has reported that 21% of high school students say they’ve vaped within the past 30 days, and The Washington Post recently reported that “pediatricians report seeing teens who behave less like tobacco users and more like patients with substance-abuse disorders.” JUULing has become so popular with teenagers that their CEO has had to apologize to parents. Sorry Somehow That apology just wasn’t enough for regulators, as the Food and Drug Administration is cracking down on e-cigarette sales, and the Connecticut District attorney is now the latest state to investigate JUUL’s attempts to market to young people. Be Careful What You Wish For For a while, JUUL seemed like the answer to Altria’s prayers. Altria owns Philip Morris and is one of the biggest names in tobacco, but as cigarettes began declining in popularity, they began looking for an alternative, and invested $12.8 billion for a 35% stake in JUUL. But at this point, the bad publicity is starting to make JUUL look like a questionable investment, no matter how popular it is. In response, Altria is reportedly thinking about diversifying further, and is looking into oral nicotine pouches and also jumping onto the booming pot market, buying a 45% stake in the cannabis company Cronos. -Michael Tedder Photo: Mike Segar/Reuters
(Bloomberg) -- Cronos Group Inc., the first marijuana company to list on a U.S. exchange, has reached a deal to acquire CBD businesses from Redwood Holding Group LLC, including high-end brand Lord Jones, in a $300 million deal.Cronos will pay $225 million in cash and the balance in shares for four operating subsidiaries, the Canadian company said in a statement Friday, confirming an earlier report by Bloomberg.Cronos rose 4.5% at 9:40 a.m. in New York after earlier jumping as much as 6.4%, the biggest intraday gain since June. Shares in the company -- the third-largest Canadian marijuana peddler by market value -- are up about 120% in the past year, giving it a market value of about $4.4 billion.Redwood, founded in 2017, sells CBD-infused body lotion, bath salts and candies under the Lord Jones brand online and at retailers in the U.S. CBD -- formally known as cannabidiol -- is a derivative of marijuana that proponents say can alleviate everything from acne to insomnia. It doesn’t produce a high.Cronos intends to retain Redwood’s management and brands, the company said in the statement. The transaction is expected to close in the third quarter.The deal -- Cronos’s first in the U.S. -- is part of the Toronto-based company’s push to become one of the world’s top CBD companies, as countries increasingly loosen legal restrictions around pot.In March, Cronos sold a minority stake to tobacco giant Altria Group Inc. for about $1.8 billion, a deal that rejuvenated investor interest in the fast-growing marijuana sector. Cronos aims to use the partnership with Altria to expand in the U.S. CBD market, Chief Executive Officer Mike Gorenstein said in June.“That’s something we’re very excited about, we’re very bullish on,” he said at an industry conference in New York hosted by Piper Jaffray Cos. “It’s something that we see as a huge market.”Demand for CBD products has exploded since the U.S. made it legal to extract the substance from hemp last year. The U.S. CBD market is expected to be worth $24 billion by 2023, according to Brightfield Group, a market researcher.Perella Weinberg Partners LP was Cronos’s financial adviser, and Lazard Ltd. worked for Redwood.To contact the reporters on this story: Ed Hammond in New York at firstname.lastname@example.org;Kristine Owram in Toronto at email@example.comTo contact the editors responsible for this story: Liana Baker at firstname.lastname@example.org, ;Brad Olesen at email@example.com, Amy ThomsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.