Word is starting to leak out that the Food and Drug Administration is about to exert its power over the increasingly popular electronic cigarette market.
Demand for e-cigs continues to gain steam; Lorillard (LO.DL) controls half the market and saw 25% growth from its Blu brand. However, watchdog groups are up in arms over the industry's loose regulations, highlighting what they see as youth-friendly flavors like tuti-frutti and skyrocketing rates of poisonings from inhaling too much nicotine vapor.
On this edition of Market Checkup, Motley Fool health-care analysts David Williamson and Michael Douglass discuss the FDA's coming regulatory power move, how this could affect tobacco stocks, and what they see as the long-term sales potential of e-cigs.
