Invest in Cigars?

The Dow is approaching 12,000, and the cigar business is booming. It is definitely time to "invest" in some quality sticks to celebrate the occasion, but is it time to invest in cigar or tobacco stocks? My only investments in cigars are the sticks (not stocks) that are currently residing in my humidor. However, the cigar industry has been enjoying somewhat of a renaissance since the boom and bust of the late '90's, and sales have been climbing despite the threats of higher tobacco taxes and restrictive smoking bans. The two largest cigar companies in the world are located in Spain and Sweden, so if you are inclined to invest in markets outside of the United States, Altadis, S.A. and Swedish Match are the companies to watch. Both companies also produce other products besides cigars.

For tobacco company stocks trading in U.S. markets, British American Tobacco (BTI) is traded on the American Stock Exchange, and Universal ((UVV) is traded on the New York Stock Exchange. However, only a small part of each business is devoted to cigars. I am not recommending that you invest in any cigar or tobacco stocks, but you may enjoy watching this short video at CigarClass.com about the current renaissance in the cigar industry.