In a world where traditional smoking is steadily losing its appeal, vaping companies are emerging left, right, and center. They’re threatening to eat up the market share that traditional smoking companies previously held. Want to get in on it with your investments? Let’s look at 8 of the best vape stocks to buy now.
Best Vape Stocks
Turning Points Brands Inc (NYSE: TPB)
Turning Point Brands Inc. manufactures tobacco and smoking-related products in the United States. Founded in 2004 and headquartered in Louisville, Kentucky, the company offers a diverse portfolio of popular brands such as Zig-Zag, Stoker’s, and Beech-Nut.
Since going public on the stock market in 2016, the company has expanded its offerings to include alternative products such as nicotine-free herbal snuff and nicotine pouches.
One of the most exciting developments for Turning Point Brands is its recent expansion into the cannabidiol (CBD) market.
The company has made several acquisitions, including Wild Hemp and other CBD brands, to position itself as a major player in this rapidly growing industry.
In addition to its focus on innovation, Turning Point Brands has shown commitment to sustainability.
The company has implemented several initiatives to reduce its environmental impact, such as a program to recycle used tobacco pouches and offering biodegradable options for its rolling papers.
Turning Point Brands Inc. offers investors an opportunity to earn passive income through its dividends with a dividend yield of 1.17% and an annual payout of $0.26.
Cronos Group Inc. (NASDAQ: CRON)
Cronos Group Inc. is a Canadian cannabis company with a global presence that operates in more than ten countries, including the United States, Canada, Germany, and Israel.
Headquartered in Toronto, Ontario, the company went public on the Toronto Stock Exchange in 2018 and is listed on the Nasdaq under the CRON ticker.
Cronos Group offers a diverse portfolio of cannabis brands, including Spinach, Peace Naturals, and Cove, and has established itself as a major player in the cannabis industry.
One of Cronos Group’s most exciting aspects is its joint venture with Altria Group, called “JUUL Labs.”
This venture focuses on developing and commercializing next-generation vape products that combine Cronos Group’s expertise in cannabis with Altria’s expertise in the tobacco and vaping industry.
The joint venture aims to create innovative new products that meet the evolving needs of adult consumers.
However, it’s worth noting that the focus is not on cannabis vaping but on non-cannabis products.
Cronos Group has projected a revenue growth of 16.77% in 2023 and a market capitalization of approximately $0.74 billion.
Although the company does not pay dividends, its growth potential and strategic partnerships make it an attractive option for investors looking to capitalize on the rapidly growing vape industry.
Canopy Growth Corp. (NASDAQ: CGC)
Another top vape stock to consider is Canopy Growth Corp, the largest cannabis producer in Canada and a global leader in the cannabis industry.
Canopy Growth has a diverse portfolio of brands, including Tweed, Tokyo Smoke, and Spectrum Therapeutics, catering to medical and recreational cannabis markets.
In 2018, Constellation Brands invested $4 billion in Canopy Growth, the largest investment in the cannabis industry at that time.
This investment has enabled Canopy Growth to focus on innovative technology, product development, and cultivation techniques.
While Canopy Growth currently trades on NASDAQ at about $1.70, the company is projected to experience a 7.30% decrease in annual revenue for 2023.
This decline could concern existing shareholders but may also represent an attractive buying opportunity for investors looking to “buy the dip.”
Japan Tobacco Inc. (OTCMKT: 2914)
Japan Tobacco Inc, with its owner and major shareholder being the Japanese government, is the foremost tobacco producer in Japan.
It is the third largest in the world based on sales volume, only behind Philip Morris International and British American Tobacco.
The company has diversified its offerings to include next-generation products like e-cigarettes, with Logic as its subsidiary.
Logic, acquired by Japan Tobacco in 2015, offers a range of e-cigarette products, including rechargeable and disposable devices and various flavors.
Logic products are available in several markets, including the US, UK, France, Italy, and Germany.
Regarding the company’s financials, Japan Tobacco Inc has a market capitalization of approximately $42.23 billion and trades on the Tokyo stock exchange at around $21.12.
It offers an attractive dividend yield of 6.73%, which amounts to a payout of $1.4 to its shareholders.
Altria Group Inc. (NYSE: MO)
Altria Group, Inc. is one of the foremost tobacco stocks in the world.
It is a well-known player in the tobacco and related products industry, but the company has also been making waves in the e-cigarette market.
As the parent company of Philip Morris USA and owner of popular smokeless tobacco brands like Copenhagen and Skoal, Altria Group has a significant presence in the tobacco industry.
Altria Group has recently been diversifying its product offerings and investing heavily in e-vapor technology.
Aside from its focus on product development, Altria Group also strongly emphasizes corporate social responsibility.
The company has implemented initiatives to reduce its environmental impact, promote responsible marketing practices, and support local communities.
With a market cap of $80.55 billion, Altria Group is a significant player in the tobacco market and has some market share in the electronic cigarette space.
It trades on the New York Stock Exchange at roughly $45, and investors stand to earn dividends with a dividend yield of 8.33% and an annual payout of $3.76.
Philip Morris International Inc. (NYSE: PM)
Next on the list is Philip Morris International Inc (PMI), another major player in the tobacco industry rapidly expanding its smoke-free product portfolio.
The company’s international headquarters is now based in New York City, but it still maintains a significant presence in Switzerland, where its research and development facilities are located.
With declining cigarette sales, Philip Morris International Inc. has invested heavily in research and development to create alternative products, like e-cigarettes and heated tobacco devices.
One of its more popular smoke-free products is IQOS, which heats tobacco without burning it and produces a vapor that can be inhaled.
Philip Morris International is dedicated to transitioning to a smoke-free future and hopes that smoke-free products will eventually make up at least 50% of its revenue by 2025.
With a market cap of $150.95 billion, the company is one of the largest tobacco companies in the world.
It currently offers a dividend yield of 5.22%, rewarding its shareholders with a quarterly payout of about $5.08.
British American Tobacco Plc (NYSE: BTI)
British American Tobacco (BAT) is a company that has been around for over a century (established in 1902) and has firmly rooted itself as a leader in the tobacco industry.
However, the company has quickly adapted to changing consumer preferences and diversified its offerings to include next-generation products like e-cigarettes and heated tobacco products.
The company’s flagship product in this space is Vype, which has gained popularity in many markets.
Considering its financials, British American Tobacco generated approximately $34.6 billion in revenue in 2022, and experts predict that the company will experience a modest increase in revenue in 2023.
With a market cap of $79.85 billion, the company cements itself among the tobacco industry’s largest players based on market capitalization alone.
As of April, British American Tobacco trades on the NYSE at roughly $35.67.
Investors stand to earn dividends with a dividend yield of 7.58% and an annual payout of about $2.66 per share.
Imperial Brands PLC. (OTC: IMBBY)
Imperial Brands Plc is another noteworthy addition to this list. This British multinational tobacco company was established in 1990 and is one of the oldest tobacco companies in the world.
The company is based in Bristol, England, and has a global presence, with operations in over 160 countries.
Imperial Brands has diversified its product offerings recently, expanding into e-cigarettes, heated tobacco products, and other next-generation products.
The company is also a large competitor in the premium cigar market, with famous brands such as Montecristo, Romeo y Julieta, and Hoyo de Monterrey.
In December 2022, Imperial Brands announced its year-long total revenue of $32.5 billion. Analysts estimate that the company will experience a 0.47% increase in revenue come 2023.
Additionally, the company has a market cap of $21.96 billion and offers a dividend yield of 7.06% and an annual payout of $2.32.
Are Vape Stocks a Good Investment?
Over the past few years, society has become more aware of the health hazards associated with traditional smoking, and as a result, vaping has emerged as a popular alternative.
The vaping industry is an attractive investment for individuals looking to support e-cigarette brands as alternatives to traditional smoking.
Following the emergence of vaping, the demand for e-cigarettes, vape pens, and related products is set to rise in the coming years, potentially driving up the value of vape stocks.
In other words, it’s fair to say that vape stocks are good investments.
And we’re already seeing that play out in real-time, with more and more vaping companies experiencing substantial growth in recent years.
With careful research and investment, investors could see significant returns from vape stocks as the industry continues to grow and evolve.
What Are The Biggest Vape Brands In The World
Juul Labs and SMOK are arguably two of the biggest vaping brands in the world right now. Juul Labs is headquartered in San Francisco, while SMOK operates in China.
What Country Buys The Most Vapes?
The United Kingdom, The United States, and Japan are the world’s biggest consumers of vaping products.