RLX TECHNOLOGY INC-ADR (RLX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RLX - US74969N1037 - ADR
2.28 USD
0 (0%)
2.28 USD
0 (0%)
RLX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 8 industry peers in the Tobacco industry. While RLX has a great health rating, its profitability is only average at the moment. RLX is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
RLX had positive earnings in the past year.
In the past year RLX had a positive cash flow from operations.
RLX had positive earnings in 4 of the past 5 years.
In the past 5 years RLX always reported a positive cash flow from operatings.
1.2 Ratios
RLX has a Return On Assets of 4.38%. This is in the better half of the industry: RLX outperforms 62.50% of its industry peers.
Looking at the Return On Equity, with a value of 4.75%, RLX is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
With a Return On Invested Capital value of 1.06%, RLX is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.38% | ||
| ROE | 4.75% | ||
| ROIC | 1.06% |
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
Looking at the Profit Margin, with a value of 21.05%, RLX is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
RLX's Profit Margin has improved in the last couple of years.
RLX has a Operating Margin of 5.46%. This is in the lower half of the industry: RLX underperforms 62.50% of its industry peers.
RLX has a Gross Margin of 28.79%. This is comparable to the rest of the industry: RLX outperforms 50.00% of its industry peers.
In the last couple of years the Gross Margin of RLX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.46% | ||
| PM (TTM) | 21.05% | ||
| GM | 28.79% |
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
RLX has less shares outstanding than it did 5 years ago.
The debt/assets ratio for RLX has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of RLX is 0.09, which is an excellent value as it means it would take RLX, only 0.09 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.09, RLX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
A Debt/Equity ratio of 0.01 indicates that RLX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.01, RLX belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.09 | ||
| Altman-Z | N/A |
ROIC/WACC0.14
WACC7.45%
2.3 Liquidity
RLX has a Current Ratio of 9.30. This indicates that RLX is financially healthy and has no problem in meeting its short term obligations.
RLX's Current ratio of 9.30 is amongst the best of the industry. RLX outperforms 100.00% of its industry peers.
A Quick Ratio of 9.08 indicates that RLX has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 9.08, RLX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.3 | ||
| Quick Ratio | 9.08 |
3. Growth
3.1 Past
RLX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.37%.
RLX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 70.32% yearly.
RLX shows a strong growth in Revenue. In the last year, the Revenue has grown by 43.72%.
RLX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.15% yearly.
EPS 1Y (TTM)-13.37%
EPS 3Y-33.16%
EPS 5Y70.32%
EPS Q2Q%5%
Revenue 1Y (TTM)43.72%
Revenue growth 3Y-31.42%
Revenue growth 5Y12.15%
Sales Q2Q%49.32%
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 12.16% 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 28.62% on average per year.
EPS Next Y19.91%
EPS Next 2Y13.01%
EPS Next 3Y12.16%
EPS Next 5YN/A
Revenue Next Year47.27%
Revenue Next 2Y35.52%
Revenue Next 3Y28.62%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.80, which indicates a rather expensive current valuation of RLX.
RLX's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.57, RLX is valued at the same level.
The Price/Forward Earnings ratio is 17.56, which indicates a rather expensive current valuation of RLX.
RLX's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of RLX to the average of the S&P500 Index (24.04), we can say RLX is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.8 | ||
| Fwd PE | 17.56 |
4.2 Price Multiples
RLX's Enterprise Value to EBITDA 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.
Based on the Price/Free Cash Flow ratio, RLX is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.09 | ||
| EV/EBITDA | 21.92 |
4.3 Compensation for Growth
RLX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as RLX's earnings are expected to grow with 12.16% in the coming years.
PEG (NY)1.15
PEG (5Y)0.32
EPS Next 2Y13.01%
EPS Next 3Y12.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.74%, RLX is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.45, RLX pays a bit more dividend than its industry peers.
RLX's Dividend Yield is rather good when compared to the S&P500 average which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
5.2 History
RLX has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y13.01%
EPS Next 3Y12.16%
2.28
0 (0%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners27.8%
Inst Owner Change-5.92%
Ins Owners47.75%
Ins Owner ChangeN/A
Market Cap2.78B
Revenue(TTM)3.63B
Net Income(TTM)764.28M
Analysts77.5
Price Target3.14 (37.72%)
Short Float %8.45%
Short Ratio3.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
Yearly Dividend0.01
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.25%
Min EPS beat(2)-21.02%
Max EPS beat(2)-5.49%
EPS beat(4)1
Avg EPS beat(4)-5.3%
Min EPS beat(4)-21.02%
Max EPS beat(4)11.24%
EPS beat(8)2
Avg EPS beat(8)11.83%
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)15.9%
Min Revenue beat(2)11.59%
Max Revenue beat(2)20.2%
Revenue beat(4)4
Avg Revenue beat(4)10.49%
Min Revenue beat(4)4.84%
Max Revenue beat(4)20.2%
Revenue beat(8)7
Avg Revenue beat(8)6.44%
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)0.82%
PT rev (3m)0.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)4.51%
EPS NY rev (3m)13.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)2.07%
Revenue NY rev (3m)2.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.8 | ||
| Fwd PE | 17.56 | ||
| P/S | 5.37 | ||
| P/FCF | 15.09 | ||
| P/OCF | 15.09 | ||
| P/B | 1.21 | ||
| P/tB | 1.27 | ||
| EV/EBITDA | 21.92 |
EPS(TTM)0.1
EY4.39%
EPS(NY)0.13
Fwd EY5.69%
FCF(TTM)0.15
FCFY6.63%
OCF(TTM)0.15
OCFY6.63%
SpS0.42
BVpS1.88
TBVpS1.79
PEG (NY)1.15
PEG (5Y)0.32
Graham Number2.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.38% | ||
| ROE | 4.75% | ||
| ROCE | 1.21% | ||
| ROIC | 1.06% | ||
| ROICexc | 2.18% | ||
| ROICexgc | 2.42% | ||
| OM | 5.46% | ||
| PM (TTM) | 21.05% | ||
| GM | 28.79% | ||
| FCFM | 35.56% |
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 Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.09 | ||
| Debt/EBITDA | 0.41 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 471.47% | ||
| Profit Quality | 168.96% | ||
| Current Ratio | 9.3 | ||
| Quick Ratio | 9.08 | ||
| Altman-Z | N/A |
F-Score7
WACC7.45%
ROIC/WACC0.14
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)-13.37%
EPS 3Y-33.16%
EPS 5Y70.32%
EPS Q2Q%5%
EPS Next Y19.91%
EPS Next 2Y13.01%
EPS Next 3Y12.16%
EPS Next 5YN/A
Revenue 1Y (TTM)43.72%
Revenue growth 3Y-31.42%
Revenue growth 5Y12.15%
Sales Q2Q%49.32%
Revenue Next Year47.27%
Revenue Next 2Y35.52%
Revenue Next 3Y28.62%
Revenue Next 5YN/A
EBIT growth 1Y185.7%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year133.4%
EBIT Next 3Y59.5%
EBIT Next 5YN/A
FCF growth 1Y422.89%
FCF growth 3Y-20.26%
FCF growth 5Y27.93%
OCF growth 1Y463.39%
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 6 / 10 to RLX.
What is the valuation status of RLX TECHNOLOGY INC-ADR (RLX) stock?
ChartMill assigns a valuation rating of 3 / 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.