Cigarette Stocks Have Gotten Burned This Week. Could Things Get Even Worse for Big Tobacco?
By SY MUKHERJEE
That could be a long-term problem for Philip Morris and its ilk if it can’t step up its marketing game in a crowded space. And the Food and Drug Administration (FDA) under Commissioner Scott Gottlieb may not be making things much easier with aggressive plans to limit nicotine levels in traditional cigarettes and skepticism about firms’ claims that devices like the iQOS cut health risks compared to conventional cigarettes. A group of U.S. Senators recently sent the FDA a letter urging the agency to reject Philip Morris’ request to market iQOS as a “modified-risk” tobacco product, which might give consumers the impression that it’s a healthier alternative.