RLX Stock Overview
RLX Technology Inc., together with its subsidiaries, researchers, develops, manufactures, distributes, and sells e-vapor products in the People's Republic of China.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$3.69|
|52 Week High||US$35.00|
|52 Week Low||US$3.56|
|1 Month Change||-24.54%|
|3 Month Change||-39.01%|
|1 Year Change||n/a|
|3 Year Change||n/a|
|5 Year Change||n/a|
|Change since IPO||-87.50%|
Recent News & Updates
With Double-Digit Sales Growth, RLX Technology Is A Buy
RLX offers e-vapor products with various value-added features. If the management continues to invest in R&D, I expect that the RLX will be able to offer more products. As a result, the revenue line will most likely increase. In my opinion, if the company comes out with different formulae to use in the e-vapor products, the quality of its products may increase. I believe in the likelihood of sales growth of 15% from 2026 to 2030, CFO/Sales of 30%, and the Capex/Sales ratio of -1%. With these numbers, the FCF margin would stand at 29%, and the 2030 FCF would be equal to RMB20 billion. The company’s EV/FCF stands at close to 10x. I used an exit multiple of 7x because I don’t really know what the company’s business model will be in 2031. I also want to be very moderate while choosing my figures.
RLX Technology: The Stock Is Broken
Q2 earnings were positive. The company is investing in more research and safety while improving its ability to market to its target audience. The risk here is entirely regulatory and that pressure will persist at least another quarter.
|RLX||US Tobacco||US Market|
Return vs Industry: Insufficient data to determine how RLX performed against the US Tobacco industry.
Return vs Market: Insufficient data to determine how RLX performed against the US Market.
|RLX Average Weekly Movement||14.0%|
|Tobacco Industry Average Movement||14.0%|
|Market Average Movement||6.1%|
|10% most volatile stocks in US Market||14.8%|
|10% least volatile stocks in US Market||2.4%|
Stable Share Price: RLX is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.
Volatility Over Time: RLX's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of US stocks.
About the Company
RLX Technology Inc., together with its subsidiaries, researchers, develops, manufactures, distributes, and sells e-vapor products in the People's Republic of China. It serves RELX branded partner stores and other retail outlets through distributors. The company was founded in 2018 and is based in Beijing, China.
RLX Technology Fundamentals Summary
|RLX fundamental statistics|
Is RLX overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|RLX income statement (TTM)|
|Cost of Revenue||CN¥4.30b|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Dec 03, 2021
|Earnings per share (EPS)||0.24|
|Net Profit Margin||4.28%|
How did RLX perform over the long term?See historical performance and comparison
Is RLX Technology undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RLX ($3.69) is trading below our estimate of fair value ($62.78)
Significantly Below Fair Value: RLX is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RLX is poor value based on its PE Ratio (96.4x) compared to the Global Tobacco industry average (13.9x).
PE vs Market: RLX is poor value based on its PE Ratio (96.4x) compared to the US market (16.8x).
Price to Earnings Growth Ratio
PEG Ratio: RLX is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: RLX is good value based on its PB Ratio (2.5x) compared to the US Tobacco industry average (4.6x).
How is RLX Technology forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RLX's forecast earnings growth (63.3% per year) is above the savings rate (2%).
Earnings vs Market: RLX's earnings (63.3% per year) are forecast to grow faster than the US market (13.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RLX's revenue (43.2% per year) is forecast to grow faster than the US market (9.8% per year).
High Growth Revenue: RLX's revenue (43.2% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RLX's Return on Equity is forecast to be high in 3 years time (37.1%)
How has RLX Technology performed over the past 5 years?
Last years earnings growth
Earnings and Revenue History
Quality Earnings: RLX has high quality earnings.
Growing Profit Margin: RLX's current net profit margins (4.3%) are higher than last year (2.4%).
Past Earnings Growth Analysis
Earnings Trend: RLX has become profitable over the past 5 years.
Accelerating Growth: Insufficient data to compare RLX's past year earnings growth to its 5-year average.
Earnings vs Industry: RLX earnings growth over the past year (499.3%) exceeded the Tobacco industry 13.3%.
Return on Equity
High ROE: RLX's Return on Equity (2.6%) is considered low.
How is RLX Technology's financial position?
Financial Position Analysis
Short Term Liabilities: RLX's short term assets (CN¥13.4B) exceed its short term liabilities (CN¥3.3B).
Long Term Liabilities: RLX's short term assets (CN¥13.4B) exceed its long term liabilities (CN¥55.0M).
Debt to Equity History and Analysis
Debt Level: RLX is debt free.
Reducing Debt: RLX had no debt 5 years ago.
Debt Coverage: RLX has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: RLX has no debt, therefore coverage of interest payments is not a concern.
What is RLX Technology current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RLX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate RLX's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if RLX's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RLX's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RLX's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Kate Ying (39 yo)
Ms. Wang Ying, also known as Kate, is co-founder of RLX Technology Inc. and has been its Chairperson of Board of Directors and Chief Executive Officer since January 2, 2018. Ms. Wang has also served as the...
Experienced Management: RLX's management team is considered experienced (3.3 years average tenure).
Experienced Board: RLX's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: RLX only recently listed within the past 12 months.
RLX Technology Inc.'s employee growth, exchange listings and data sources
- Name: RLX Technology Inc.
- Ticker: RLX
- Exchange: NYSE
- Founded: 2018
- Industry: Tobacco
- Sector: Food, Beverage & Tobacco
- Market Cap: US$4.966b
- Shares outstanding: 1.35b
- Website: https://www.relxtech.com
Number of Employees
- RLX Technology Inc.
- Junhao Central Park Plaza
- 19th Floor, Building 1
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/12/04 00:19|
|End of Day Share Price||2021/12/03 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.