22nd Century Shareholders Approve Measures to Support Listing

22nd Century ( (XXII) ) has issued an update.

On February 20, 2026, 22nd Century Group held a special shareholders’ meeting at which investors approved five key proposals aimed at preserving the company’s Nasdaq listing and funding flexibility. Stockholders authorized a reverse stock split at a ratio of up to 1-for-200, validated preferred stock terms that allow share issuance below Nasdaq’s minimum price, amended August 2025 warrants to add anti-dilution protections, cleared a potential future offering, and backed the option to adjourn the meeting if additional votes had been needed.

The same day, the company released preliminary, unaudited results for the fourth quarter and full year 2025 showing revenue contraction but narrower losses and a strengthened balance sheet. Net revenue for 2025 is expected at about $17.6 million versus $24.4 million in 2024, flat annual carton volumes of roughly 2.1 million, and an operating loss trimmed to about $11.6 million from $14.0 million, with net loss from continuing operations improving to about $13.1 million from $15.5 million.

Despite a gross loss widening to approximately $3.1 million in 2025, 22nd Century ended the year with $7.1 million in cash, no long-term debt after repaying its senior secured borrowings, and higher inventory levels tied to the 2025 reduced-nicotine crop. Management highlighted the exit from unprofitable high-volume channels and the fourth-quarter launch of VLN® and Partner VLN® brands as foundations for a shift toward higher-margin proprietary products, signaling a strategic move from balance-sheet repair toward growth and eventual profitability.

The most recent analyst rating on (XXII) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on 22nd Century stock, see the XXII Stock Forecast page.

Spark’s Take on XXII Stock

According to Spark, TipRanks’ AI Analyst, XXII is a Neutral.

The score is primarily held down by weak financial performance (declining revenue, large losses, and negative cash flow) and a strongly bearish technical setup with the stock far below key moving averages. Earnings-call updates provide some offset via improved balance-sheet positioning and strategic progress in VLN expansion, but valuation signals are limited due to an uninformative P/E and no dividend data.

To see Spark’s full report on XXII stock, click here.

More about 22nd Century

22nd Century Group, Inc. is a Nasdaq-listed tobacco products company focused on tobacco harm reduction through proprietary, non-GMO reduced-nicotine tobacco technology. Its flagship VLN® cigarettes, made from tobacco containing about 95% less nicotine than traditional plants, target smokers seeking to cut nicotine consumption while maintaining a familiar combustible format.

The company commercializes its reduced-nicotine technology via VLN® and Partner VLN® branded products, backed by an extensive patent portfolio designed to protect scalable, low-nicotine tobacco cultivation. It positions itself at the intersection of tobacco, health, and regulation, working with U.S. public-health and regulatory stakeholders to align its products with smoking harm-reduction initiatives.

Average Trading Volume: 21,164

Technical Sentiment Signal: Strong Sell

Current Market Cap: $2.88M

For an in-depth examination of XXII stock, go to TipRanks’ Overview page.