(TPB) Turning Point Brands - Ratings and Ratios

Turning Point Brands, Inc. (NYSE:TPB) is a diversified consumer goods company with a focus on tobacco, nicotine, and cannabis accessories. It operates through three distinct segments: Zig-Zag Products, Stokers Products, and Creative Distribution Solutions. The Zig-Zag Products segment is a legacy business, specializing in rolling papers, tubes, and accessories under the iconic Zig-Zag brand, which has been a staple in the smoking accessories market for decades. This segment also includes finished cigars and make-your-own cigar wraps, catering to both traditional tobacco users and the growing cannabis community.

The Stokers Products segment is the companys tobacco pillar, manufacturing and marketing moist snuff and loose-leaf chewing tobacco under brands like Stokers, Beech-Nut, and Durango. These products are targeted at traditional tobacco consumers, particularly in rural and regional markets where these brands have strong distribution networks. The segment provides steady cash flow due to the stable demand for tobacco products, despite regulatory headwinds.

Creative Distribution Solutions is the companys growth engine, focused on non-tobacco and cannabis accessories. This segment leverages the VaporFi B2C online platform and VaporBeasts non-traditional retail channels to distribute products such as vapes, e-liquids, and cannabis accessories. This division reflects the companys strategic pivot toward emerging markets and consumer trends in the nicotine and cannabis spaces.

Financially, Turning Point Brands has a market capitalization of ~$1.234 billion, with a trailing P/E of 27.96 and a forward P/E of 21.41, indicating expectations of future earnings growth. The P/B ratio of 6.65 suggests a premium valuation relative to book value, while the P/S ratio of 3.01 reflects its revenue multiple. These metrics position the company as a mid-sized player in the consumer staples sector, with a mix of stable cash flow from tobacco and growth potential from cannabis and vaping products.

Turning Point Brands was founded in 1988 and is headquartered in Louisville, Kentucky. The company rebranded from North Atlantic Holding Company, Inc. in 2015, signaling its strategic shift toward a more diversified portfolio. Its distribution network spans convenience stores, tobacco outlets, and non-traditional retail channels, giving it broad access to its target markets. For investors, the company offers exposure to both the resilient tobacco industry and the high-growth cannabis accessories market.