RLX Technology Inc. [RLX] Stock trading around $1.97 per share: What’s Next?

RLX Technology Inc. [NYSE: RLX] closed the trading session at $1.97 on 02/27/23. The day’s price range saw the stock hit a low of $1.97, while the highest price level was $2.04. The company report on November 23, 2022 that RLX Technology Upgraded to ‘A’ by MSCI ESG Rating, Ahead of Its Global Peers.

RLX Technology (NYSE: RLX), known for its RELX-branded e-vapor products, announced today that it has been upgrated to ‘A’ by MSCI ESG Rating, taking a dramatic leap from CCC last year, ranking ahead of global e-vapor peers.

MSCI ESG ratings measure the management of financially relevant ESG risks and opportunities over 8,500 companies and more than 680,000 equity and fixed income securities globally..

The stocks have a year to date performance of -14.35 percent and weekly performance of -9.63 percent. The stock has been moved at 34.01 percent over the last six months. The stock has performed -26.49 percent around the most recent 30 days and changed -1.01 percent over the most recent 3-months.

If compared to the average trading volume of 12.58M shares, RLX reached to a volume of 12307069 in the most recent trading day, which is why market watchdogs consider the stock to be active.

Here’s what leading stock market gurus have to say about RLX Technology Inc. [RLX]:

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for RLX shares is $4.81 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on RLX stock is a recommendation set at 1.50. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

BofA Securities have made an estimate for RLX Technology Inc. shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on November 01, 2021. While these analysts kept the previous recommendation, Citigroup raised their target price to Buy. The new note on the price target was released on March 12, 2021, representing the official price target for RLX Technology Inc. stock. Previously, the target price had yet another raise to $30, while China Renaissance analysts kept a Buy rating on RLX stock.

The Average True Range (ATR) for RLX Technology Inc. is set at 0.15, with the Price to Sales ratio for RLX stock in the period of the last 12 months amounting to 3.24. The Price to Book ratio for the last quarter was 1.16, with the Price to Cash per share for the same quarter was set at 1.28.

RLX stock trade performance evaluation

RLX Technology Inc. [RLX] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -9.63. With this latest performance, RLX shares dropped by -26.49% in over the last four-week period, additionally plugging by 34.01% over the last 6 months – not to mention a drop of -36.45% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for RLX stock in for the last two-week period is set at 36.96, with the RSI for the last a single of trading hit 33.92, and the three-weeks RSI is set at 40.49 for RLX Technology Inc. [RLX]. The present Moving Average for the last 50 days of trading for this stock 2.43, while it was recorded at 2.03 for the last single week of trading, and 1.87 for the last 200 days.

RLX Technology Inc. [RLX]: An insightful look at the core fundamentals

Operating Margin for any stock indicates how profitable investing would be, and RLX Technology Inc. [RLX] shares currently have an operating margin of +26.98 and a Gross Margin at +43.09. RLX Technology Inc.’s Net Margin is presently recorded at +23.76.

Return on Equity for this stock inclined to 26.70, with Return on Assets sitting at 19.69.

RLX Technology Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 10.70 and a Current Ratio set at 10.80.

Earnings per share (EPS) analysis for RLX Technology Inc. [RLX] stock

The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for RLX. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for RLX Technology Inc. go to 12.71%.

RLX Technology Inc. [RLX]: Insider Ownership positions

There are presently around $614 million, or 29.50% of RLX stock, in the hands of institutional investors. The top three institutional holders of RLX stocks are: IDG CHINA VENTURE CAPITAL FUND V ASSOCIATES L.P. with ownership of 60,068,870, which is approximately 0% of the company’s market cap and around 62.74% of the total institutional ownership; GOLDMAN SACHS GROUP INC, holding 34,691,781 shares of the stock with an approximate value of $68.34 million in RLX stocks shares; and WILDCAT CAPITAL MANAGEMENT, LLC, currently with $60.86 million in RLX stock with ownership of nearly 0% of the company’s market capitalization.

Positions in RLX Technology Inc. stocks held by institutional investors increased at the end of Friday and at the time of the Friday reporting period, where 75 institutional holders increased their position in RLX Technology Inc. [NYSE:RLX] by around 108,911,678 shares. Additionally, 69 investors decreased positions by around 63,659,775 shares, while 11 investors held positions by with 139,080,562 shares. The mentioned changes placed institutional holdings at 311,652,015 shares, according to the latest SEC report filing. RLX stock had 44 new institutional investments in for a total of 48,433,104 shares, while 40 institutional investors sold positions of 26,052,104 shares during the same period.