10 things e-cigarettes won't tell you
The cigarettes of the future could be safer, cheaper and less taboo than the smokes of the past. But they also threaten to upend decades of antismoking efforts.
1 “We’re Big Tobacco in disguise.”
When electronic cigarettes made their debut in the U.S. about five years ago, they seemed like a threat to the traditional cigarette industry.
The battery powered devices, which turn nicotine laced liquid into vapor, promised a less harmful and more socially acceptable alternative to combustible paper and tar cigarettes and they were cheaper, not being subject to hefty tobacco taxes.
Already, the underdog industry is on track to hit nearly $2 billion in sales for 2013, tripling its 2012 figures, says Wells Fargo WFC 1.08% Wells Fargo & Co. U.S. NYSE $49.47 0.53 1.08% April 29, 2014 4 00 pm Volume (Delayed 15m) 14.46M AFTER HOURS $49.47 0.00 0.00% April 29, 2014 6 57 pm Volume (Delayed 15m) 292,333 P/E Ratio 12.10 Market Cap $257.70 Billion Dividend Yield 2.83% Rev. per Employee $331,971 04/29/14 Mortgage Complaints Overrun We… 04/29/14 Brokerage Firms Combating Elde… 04/27/14 The Tangible Risks of Moving B… More quote details and news WFC in Your Value Your Change Short position tobacco analyst Bonnie Herzog. And although the market for traditional cigarettes is still far bigger topping $80 billion Ms. Herzog predicts that e cigarettes could surpass old fashioned smokes in popularity within a decade.
But Big Tobacco brooks no challenge. The Big Three Altria Group, MO 0.48% Altria Group Inc. U.S. NYSE $40.12 0.19 0.48% April 29, 2014 4 01 pm Volume (Delayed 15m) 8.41M AFTER HOURS $39.70 0.42 1.05% April 29, 2014 7 55 pm Volume (Delayed 15m) 134,591 P/E Ratio 18.57 Market Cap $79.32 Billion Dividend Yield 4.79% Rev. per Employee $1,966,440 04/24/14 E Cig Makers Breathe Easier Af… 04/24/14 E Cigarettes Face First Regula… 04/24/14 Lorillard Profit Declines on L… More quote details and news MO in Your Value Your Change Short position Reynolds American RAI 0.92% Reynolds American Inc. U.S. NYSE $56.24 0.51 0.92% April 29, 2014 4 03 pm Volume (Delayed 15m) 2.80M AFTER HOURS $56.13 0.11 0.20% April 29, 2014 4 42 pm Volume (Delayed 15m) 44,686 P/E Ratio 19.39 Market Cap $29.87 Billion Dividend Yield 4.77% Rev. per Employee $1,566,730 04/24/14 E C
ig Makers Breathe Easier Af… 04/24/14 E Cigarettes Face First Regula… 04/24/14 Lorillard Profit Declines on L… More quote details and news RAI in Your Value Your Change Short position and Lorillard have all made forays into e cigarettes in the past two years.
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