RLX TECHNOLOGY INC-ADR (RLX) Stock Fundamental Analysis
USA - NYSE:RLX - US74969N1037 - ADR
2.39 USD
-0.03 (-1.24%)
2.3804 USD
-0.01 (-0.4%)
Taking everything into account, RLX scores 5 out of 10 in our fundamental rating. RLX was compared to 8 industry peers in the Tobacco industry. RLX is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. RLX is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
RLX had positive earnings in the past year.
RLX had a positive operating cash flow in the past year.
Of the past 5 years RLX 4 years were profitable.
In the past 5 years RLX always reported a positive cash flow from operatings.
1.2 Ratios
RLX's Return On Assets of 4.16% is fine compared to the rest of the industry. RLX outperforms 62.50% of its industry peers.
RLX's Return On Equity of 4.50% is fine compared to the rest of the industry. RLX outperforms 62.50% of its industry peers.
RLX has a worse Return On Invested Capital (0.50%) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.16% | ||
| ROE | 4.5% | ||
| ROIC | 0.5% |
ROA(3y)5.12%
ROA(5y)4.91%
ROE(3y)5.38%
ROE(5y)4.52%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RLX's Profit Margin of 22.31% is amongst the best of the industry. RLX outperforms 87.50% of its industry peers.
RLX's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 2.89%, RLX is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
RLX has a Gross Margin of 27.59%. This is comparable to the rest of the industry: RLX outperforms 50.00% of its industry peers.
RLX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.89% | ||
| PM (TTM) | 22.31% | ||
| GM | 27.59% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.46%
PM growth 5Y45.47%
GM growth 3Y-15.04%
GM growth 5Y-6.75%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RLX is destroying value.
Compared to 1 year ago, RLX has less shares outstanding
Compared to 5 years ago, RLX has less shares outstanding
RLX has a better debt/assets ratio than last year.
2.2 Solvency
RLX has a debt to FCF ratio of 0.10. This is a very positive value and a sign of high solvency as it would only need 0.10 years to pay back of all of its debts.
RLX's Debt to FCF ratio of 0.10 is amongst the best of the industry. RLX outperforms 100.00% of its industry peers.
RLX has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.01, RLX belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.1 | ||
| Altman-Z | N/A |
ROIC/WACC0.06
WACC7.85%
2.3 Liquidity
A Current Ratio of 8.35 indicates that RLX has no problem at all paying its short term obligations.
With an excellent Current ratio value of 8.35, RLX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
A Quick Ratio of 8.12 indicates that RLX has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 8.12, RLX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.35 | ||
| Quick Ratio | 8.12 |
3. Growth
3.1 Past
The earnings per share for RLX have decreased by -8.74% in the last year.
Measured over the past years, RLX shows a very strong growth in Earnings Per Share. The EPS has been growing by 70.32% on average per year.
RLX shows a strong growth in Revenue. In the last year, the Revenue has grown by 43.59%.
The Revenue has been growing by 12.15% on average over the past years. This is quite good.
EPS 1Y (TTM)-8.74%
EPS 3Y-33.16%
EPS 5Y70.32%
EPS Q2Q%-12.44%
Revenue 1Y (TTM)43.59%
Revenue growth 3Y-31.42%
Revenue growth 5Y12.15%
Sales Q2Q%40.62%
3.2 Future
Based on estimates for the next years, RLX will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.99% on average per year.
Based on estimates for the next years, RLX will show a very strong growth in Revenue. The Revenue will grow by 26.69% on average per year.
EPS Next Y14.74%
EPS Next 2Y12.85%
EPS Next 3Y8.99%
EPS Next 5YN/A
Revenue Next Year44.27%
Revenue Next 2Y35.44%
Revenue Next 3Y26.69%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.90, RLX is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of RLX indicates a slightly more expensive valuation: RLX is more expensive than 62.50% of the companies listed in the same industry.
RLX is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.76, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 18.69, the valuation of RLX can be described as rather expensive.
RLX's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. RLX is more expensive than 62.50% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of RLX to the average of the S&P500 Index (22.63), we can say RLX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.9 | ||
| Fwd PE | 18.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RLX is valued a bit more expensive than the industry average as 62.50% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RLX indicates a somewhat cheap valuation: RLX is cheaper than 62.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.97 | ||
| EV/EBITDA | 58.66 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.62
PEG (5Y)0.34
EPS Next 2Y12.85%
EPS Next 3Y8.99%
5. Dividend
5.1 Amount
RLX has a yearly dividend return of 0.67%, which is pretty low.
RLX's Dividend Yield is comparable with the industry average which is at 3.96.
With a Dividend Yield of 0.67, RLX pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
5.2 History
RLX has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y12.85%
EPS Next 3Y8.99%
2.39
-0.03 (-1.24%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners28.13%
Inst Owner Change-0.01%
Ins Owners47.75%
Ins Owner ChangeN/A
Market Cap2.91B
Revenue(TTM)3.26B
Net Income(TTM)726.77M
Analysts77.5
Price Target3.12 (30.54%)
Short Float %7.48%
Short Ratio1.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
Yearly Dividend0.01
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.89%
Min EPS beat(2)-21.02%
Max EPS beat(2)11.24%
EPS beat(4)1
Avg EPS beat(4)-4.18%
Min EPS beat(4)-21.02%
Max EPS beat(4)11.24%
EPS beat(8)3
Avg EPS beat(8)17.73%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)12.52%
Min Revenue beat(2)4.84%
Max Revenue beat(2)20.2%
Revenue beat(4)4
Avg Revenue beat(4)7.8%
Min Revenue beat(4)0.83%
Max Revenue beat(4)20.2%
Revenue beat(8)6
Avg Revenue beat(8)2.55%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)9.39%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)8.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)25.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.9 | ||
| Fwd PE | 18.69 | ||
| P/S | 6.35 | ||
| P/FCF | 18.97 | ||
| P/OCF | 18.97 | ||
| P/B | 1.28 | ||
| P/tB | 1.35 | ||
| EV/EBITDA | 58.66 |
EPS(TTM)0.1
EY4.18%
EPS(NY)0.13
Fwd EY5.35%
FCF(TTM)0.13
FCFY5.27%
OCF(TTM)0.13
OCFY5.27%
SpS0.38
BVpS1.87
TBVpS1.77
PEG (NY)1.62
PEG (5Y)0.34
Graham Number2.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.16% | ||
| ROE | 4.5% | ||
| ROCE | 0.57% | ||
| ROIC | 0.5% | ||
| ROICexc | 0.91% | ||
| ROICexgc | 1% | ||
| OM | 2.89% | ||
| PM (TTM) | 22.31% | ||
| GM | 27.59% | ||
| FCFM | 33.47% |
ROA(3y)5.12%
ROA(5y)4.91%
ROE(3y)5.38%
ROE(5y)4.52%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.46%
PM growth 5Y45.47%
GM growth 3Y-15.04%
GM growth 5Y-6.75%
F-Score7
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.1 | ||
| Debt/EBITDA | 0.61 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 641.43% | ||
| Profit Quality | 150.03% | ||
| Current Ratio | 8.35 | ||
| Quick Ratio | 8.12 | ||
| Altman-Z | N/A |
F-Score7
WACC7.85%
ROIC/WACC0.06
Cap/Depr(3y)25.61%
Cap/Depr(5y)45.41%
Cap/Sales(3y)1.11%
Cap/Sales(5y)1.08%
Profit Quality(3y)71.47%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.74%
EPS 3Y-33.16%
EPS 5Y70.32%
EPS Q2Q%-12.44%
EPS Next Y14.74%
EPS Next 2Y12.85%
EPS Next 3Y8.99%
EPS Next 5YN/A
Revenue 1Y (TTM)43.59%
Revenue growth 3Y-31.42%
Revenue growth 5Y12.15%
Sales Q2Q%40.62%
Revenue Next Year44.27%
Revenue Next 2Y35.44%
Revenue Next 3Y26.69%
Revenue Next 5YN/A
EBIT growth 1Y136.96%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year105.54%
EBIT Next 3Y48.96%
EBIT Next 5YN/A
FCF growth 1Y172.71%
FCF growth 3Y-20.26%
FCF growth 5Y27.93%
OCF growth 1Y174.93%
OCF growth 3Y-21.99%
OCF growth 5Y20.37%
RLX TECHNOLOGY INC-ADR / RLX FAQ
What is the fundamental rating for RLX stock?
ChartMill assigns a fundamental rating of 5 / 10 to RLX.
What is the valuation status of RLX TECHNOLOGY INC-ADR (RLX) stock?
ChartMill assigns a valuation rating of 2 / 10 to RLX TECHNOLOGY INC-ADR (RLX). This can be considered as Overvalued.
What is the profitability of RLX stock?
RLX TECHNOLOGY INC-ADR (RLX) has a profitability rating of 4 / 10.
What is the financial health of RLX TECHNOLOGY INC-ADR (RLX) stock?
The financial health rating of RLX TECHNOLOGY INC-ADR (RLX) is 8 / 10.