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The diversification policy of $MO is a bit weird to me.
They tried with JUUL, and it was a complete debacle; for reasons unknown to me, JUUL got banned from the FDA, while other e-cigarette producers can keep selling without any problem. So the FDA completely killed JUUL, and the money invested by Altria went down the toilet.
Now they are trying NJOY, which is basically the identical product of JUUL, but inexplicable, they have an FDA approval.
How FDA approve/ban e-cigarettes brand is a mystery to me. I am long $MO, and I hope they will make it work this time, but I know too little of this business to get an idea... So I must trust blindly 🙈
It is strange that Juul was targeted while other vape brands carry on to sell essentially the same products. Unfortunate investment for $MO
Luka, you may be interested in my piece from this past Sunday:
Now, with the NJOY deal confirmed, I will be publishing a follow up piece this coming Sunday. The piece will not only cover NJOY, but also the current (and potentially changing) regulatory landscape. It will hopefully provide good context to weighing the pros/cons of the NJOY deal, as well as thoughts on how the space may evolve.
@devinlasarre thanks. I will take a look 👍
I remember reading about why Juul got banned. I think it was because of its marketing tactics that targeted young people, including social media campaigns and sponsorships at events popular with teenagers. Juul's sweet-flavored products were seen as particularly attractive to younger consumers.
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