Turning Point Brands Stock Has Surged 53%, but One Fund Just Sold $12.5 Million in Shares
Key Points
Cannell Capital sold 128,224 shares of Turning Point Brands in the fourth quarter; the estimated transaction value was $12.54 million based on quarterly average pricing.
Meanwhile, the quarter-end position value decreased by $12.18 million, reflecting both trading and price movement.
The post-trade stake stood at 51,876 shares valued at $5.62 million.
Cannell Capital reported a sale of 128,224 shares of Turning Point Brands (NYSE:TPB), an estimated $12.54 million trade based on quarterly average pricing, in its February 17, 2026, SEC filing.
What happened
In a regulatory disclosure dated February 17, 2026, Cannell Capital reported selling 128,224 shares of Turning Point Brands during the fourth quarter of 2025. The estimated transaction value was $12.54 million, calculated using the average closing price for the quarter. The fund’s quarter-end position dropped in value by $12.18 million, a figure that incorporates both share sales and changes in the underlying stock price.
What else to know
- Following the sale, the position makes up 2.73% of Cannell Capital’s 13F reportable AUM.
- Top five holdings after the filing:
- NYSE: NOA: $15.45 million
- NASDAQ: EOSE: $14.99 million
- NASDAQ: SNDL: $14.54 million
- NYSE: NPKI: $11.21 million
- NYSE: NGS: $10.98 million
- As of Tuesday, shares of Turning Point Brands were priced at $107.57, up 53% over the past year and outperforming the S&P 500’s roughly 16% gain in the same period.
Company overview
| Metric | Value |
|---|---|
| Price (as of Tuesday) | $107.57 |
| Market Capitalization | $2.1 billion |
| Revenue (TTM) | $435.72 million |
| Net Income (TTM) | $52.37 million |
Company snapshot
- Turning Point Brands products and services include rolling papers, cigar wraps, moist snuff, chewing tobacco, CBD isolate, and vapor products, with leading brands such as Zig-Zag and Stoker's.
- The company generates revenue primarily through the manufacture, marketing, and distribution of branded tobacco and alternative smoking products across three business segments.
- Main customers are wholesale distributors, retail merchants, and non-traditional retail channels serving convenience stores, tobacco outlets, and online platforms.
Turning Point Brands, Inc. is a diversified consumer products company focused on the tobacco and alternative smoking sector, operating through established brands and a multi-channel distribution network.
What this transaction means for investors
This move might be an example of Cannell locking in gains after a strong run in a niche consumer name that has quietly delivered real earnings power.
Turning Point Brands just posted full-year 2025 net sales of about $463 million, up 28%, with net income of $58 million. Adjusted EBITDA, meanwhile, climbed to about $119.5 million. The firm’s Zig-Zag rolling papers and Stoker’s moist snuff franchises continue to throw off cash, while the modern oral and alternative segments add incremental growth optionality.
Shares are up 53% over the past year, handily beating the broader market. At $107, the stock performance reflects both margin expansion and steady demand across convenience channels.
In the context of a portfolio that also holds energy storage, cannabis, and small-cap industrial names, trimming this position to less than 3% of assets reduces concentration after a strong rally but doesn’t necessarily signal an abandonment of the thesis.
The long-term story will hinge on brand durability and pricing power in a regulated industry. If management can keep volumes steady and protect margins, this will remain a cash-generative compounder.
Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool recommends SNDL and Turning Point Brands. The Motley Fool has a disclosure policy.