RLX Technology (NYSE:RLX) Cut to “Sell” at Wall Street Zen

Wall Street Zen downgraded shares of RLX Technology (NYSE:RLX) from a hold rating to a sell rating in a report published on Sunday morning.

Separately, Weiss Ratings reissued a “hold (c)” rating on shares of RLX Technology in a research note on Thursday, January 22nd. Two analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $2.50.

RLX Technology Trading Up 2.9%

Shares of NYSE RLX opened at $2.35 on Friday. The firm has a market capitalization of $3.68 billion, a P/E ratio of 26.06 and a beta of 1.11. The firm’s 50-day moving average price is $2.33 and its 200-day moving average price is $2.40. RLX Technology has a 1-year low of $1.66 and a 1-year high of $2.84.

RLX Technology (NYSE:RLX) last issued its earnings results on Friday, March 13th. The company reported $0.03 EPS for the quarter, meeting the consensus estimate of $0.03. RLX Technology had a return on equity of 5.74% and a net margin of 23.27%.The company had revenue of $163.13 million during the quarter, compared to the consensus estimate of $152.06 million.

RLX Technology announced that its board has authorized a stock buyback plan on Wednesday, December 31st that permits the company to buyback $0.00 in outstanding shares. This buyback authorization permits the company to repurchase shares of its stock through open market purchases. Shares buyback plans are generally an indication that the company’s board believes its stock is undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in RLX. XTX Topco Ltd boosted its position in shares of RLX Technology by 242.1% during the second quarter. XTX Topco Ltd now owns 333,267 shares of the company’s stock valued at $737,000 after purchasing an additional 235,844 shares in the last quarter. Pinpoint Asset Management Singapore Pte. Ltd. bought a new position in RLX Technology in the second quarter worth $110,000. Quadrature Capital Ltd lifted its position in RLX Technology by 229.0% during the second quarter. Quadrature Capital Ltd now owns 88,297 shares of the company’s stock valued at $195,000 after buying an additional 61,459 shares during the period. Marshall Wace LLP lifted its position in RLX Technology by 29.3% during the second quarter. Marshall Wace LLP now owns 1,133,093 shares of the company’s stock valued at $2,504,000 after buying an additional 257,103 shares during the period. Finally, Canada Pension Plan Investment Board boosted its holdings in shares of RLX Technology by 53.7% during the 2nd quarter. Canada Pension Plan Investment Board now owns 3,804,284 shares of the company’s stock valued at $8,407,000 after buying an additional 1,329,500 shares in the last quarter. Hedge funds and other institutional investors own 22.68% of the company’s stock.

About RLX Technology

RLX Technology Inc (NYSE:RLX) is a China-based company specializing in electronic nicotine delivery systems. The company develops, manufactures and markets closed-pod vaping devices and prefilled cartridges, positioning its products as an alternative to traditional combustible tobacco. RLX emphasizes consistent nicotine delivery, flavor variety and convenience through its proprietary e-liquid formulations and device design.

RLX operates a vertically integrated business model that encompasses research and development, production, quality control and sales.