22nd Century Group Inc (NYSEMKT:XXII) was a notable mover during Monday’s trading session. The stock surged by close to 44% on relatively high volumes. The stock has been forming higher tops and higher bottoms indicative of the strong buying momentum. The stock currently trades above all daily moving averages and have formed a “golden cross”. The indicator for relative strength continues has given a buy signal and shows no signs of a reversal. The MACD oscillator has given a buy signal, which is considered to be bullish. Traders see the stock heading to levels of $1.65 in the near term.
22nd Century Group Inc (NYSEMKT:XXII) has decided to open new laboratories so that it can reduce the overall cost involved in research work, and speed up the development of new products.
As per the reports, it’s planning to open world-class laboratories in Western New York, which can help it conduct scientific research at comparatively lower cost than the sponsored projects at universities and other institutions.
Insights of The Announcement
22nd Century Group doesn’t want to leave any stone unturned when it comes to putting experienced people onboard at this new laboratories. It has decided to appoint Paul J. Rushton as the new head of this initiative. Rushton has received his education from Max Planck Institute and Cambridge. As of now, he’s the Vice President of Plant Biotechnology department.
The increasing use of tobacco products across the globe is a major concern for WHO as well as other institutions; however, 22nd Century thinks that it can create a huge business opportunity in this field. The company will look forward to developing nicotine-free tobacco varieties at the newly proposed research laboratory. Apart from this, 222nd Century will also focus on important tobacco products that don’t have any adverse effect on human bodies.
While talking to reporters, Dr. Rushton said that it’s an exciting opportunity for the company to explore genomic-based research capabilities and commercialize its world-class technologies. If worked upon seriously, company’s new products can create a revolution in the market. Through this new initiative, 22nd Century will not only be able to expand its portfolio, but also reduce the overall cost in an effective manner.
According to Henry Sicignano III, CEO & President, 22nd Century, now there’s no need to license the product technologies from third party universities or initiations as 22nd Century Group can do everything independently. It will take more such initiatives in the coming months, details of which will be revealed at a later date.