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RLX Technology Inc.
$2.2B
Market Cap
23.4
P/E
1.80
PEG
4.3%
ROCE
5.9%
ROE
0.01
D/E
9.1%
OPM
-33.0%
% from 52W High
19
α RS
🔍 RLX is showing an earnings-catalyst setup because an ECS of 79.4 last quarter and graham_defensive preset's Backtest win rate is 51.8% over 90 days. Net: Partial signal stack, not a recommendation. ? ECS Backtest
Sources
ECS 79.4 · Backtest win rate 51.8%
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🌏 Global Investor Returns
Currency-adjusted total returns for RLX including FX impact
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📈 Price History
Ratio Health
Excellent
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By Category
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About

RLX Technology Inc., through its subsidiaries, develops, manufactures, and sells e-vapor products in the People's Republic of China and internationally. It offers rechargeable e-vapor products under the Qingyu, Phantom, Phantom Pro, Zeus, Leili, and Daqian names; and disposable e-vapor products under the Feiliu and Feiliu Mega names. The company also provides closed-system rechargeable products, open-system products, closed-system disposable products, and modern oral products. It sells its products through local channels, third-party distribution channels, and distribution channels co-managed with third parties, as well as online and offline end users. The company was founded in 2018 and is headquartered in Shenzhen, the People's Republic of China.

Key Ratios Snapshot
📈 Growth Pattern
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⭐ Superinvestors Holding RLX
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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 898.4K $2.0M 0.00% Mar 2026
Steve Cohen Point72 Asset Management 179.3K $394K 0.00% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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📊 MIXED RLX Technology Q1 2026 revenue up 96% YoY to RMB 1.59B, international >70%
Revenue & Profitability
Net revenues were RMB 1.59 billion, up 96.2% year-over-year and 38.9% quarter-over-quarter. Non-GAAP net income reached RMB 357.3 million, a 41.4% increase from RMB 252.7 million a year ago. Non-GAAP income from operations was RMB 310.3 million, up 187.9% year-over-year. Gross margin expanded to 31.8% from 28.6%, and non-GAAP operating margin improved to 19.6% from 13.3%. Total financial assets were RMB 14.53 billion as of March 31, 2026.
Outlook
Management views the United Kingdom's Tobacco and Vapes Act (April 2026) as a structural tailwind for regulated harm reduction alternatives like vapes, as it preserves a legal pathway for e-vapor while phasing out combustible cigarettes. They believe a well-regulated market rewards scale, compliance, and innovation, and that regulatory developments globally are moving in a direction favorable to compliant industry leaders. The company is optimistic about long-term demand but acknowledges near-term policy shifts such as China's export tax rebate cancellation.
Growth Drivers
Key growth drivers include international expansion, particularly in Europe through a dual-engine strategy of strategic M&A and organic growth, and defending market share in Asia. The company entered two new markets in Southeast Asia and Europe during Q1 2026. Additionally, modern oral products are being scaled up with new production capacity and distribution channels, while the e-vapor category remains the primary focus for capturing market share.
Balance Sheet & CapEx
The Nexus integrated smart manufacturing facility is now fully operational, representing a significant capital investment that brings R&D, manufacturing, and commercial operations under one roof. The company also invested in a new local warehouse facility for its European entity to resolve capital constraints and improve distribution efficiency. Management maintains a strong balance sheet with RMB 14.53 billion in financial assets for future investments.
Margins
Gross margin improved to 31.8% in Q1 2026 from 28.6% in the prior-year period, driven by a more favorable product mix and ongoing supply chain optimization. Non-GAAP operating margin expanded to 19.6% from 13.3%, reflecting operating leverage from strong revenue growth. Management expects the long-term impact of China's export tax rebate cancellation on overall cost structure and margins to be minimal.
Key Risks
Risks flagged include the impact of China's export tax rebate cancellation effective April 2026, which caused a temporary front-loading effect in Q1 orders but is expected to have minimal long-term margin impact. Management also highlights inherent uncertainties in M&A projects and states that unannounced projects are not included in guidance. Regulatory changes in various markets remain a consideration, but the company sees them as manageable given its compliance capabilities.
Generated by AI · Q1 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q1 2026 Q1 2026 2026-05-20
Revenue surged 96.2% year-over-year, led by international growth and strong European expansion. Gross margin improved to 31.8%, and the Nexus facility boosted operational efficiency. Regulatory shifts in the U.K. and China are expected to favor compliant, innovative players.
Q4 2025 Q4 2025 2026-03-13
Delivered strong revenue and profit growth in 2025, driven by international expansion and operational efficiency. Maintains robust cash position, disciplined capital allocation, and expects continued outperformance in 2026.
Q3 2025 Q3 2025 2025-11-14
Net revenues rose 49% year-over-year to RMB 1.1 billion, driven by international growth and strategic expansion in Europe. Gross margin and operating profit improved, with strong cash flow and significant shareholder returns. Regulatory and market challenges persist in China.
Q2 2025 Q2 2025 2025-08-22
Q2 2025 saw 40% year-over-year revenue growth and a 2.3-point gross margin expansion, driven by international expansion, regulatory clarity, and product innovation. The company strengthened its global footprint with a European acquisition and maintained robust cash flow and shareholder returns.
Q1 2025 Q1 2025 2025-05-16
Net revenue grew 47% year-over-year to RMB 808 million in Q1 2025, driven by international expansion and new big puff product launches. Gross margin and operating profit improved, with a strong cash position maintained despite global regulatory headwinds.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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