RLX Technology Sees Unusually High Options Volume (NYSE:RLX)

RLX Technology Inc. Sponsored ADR (NYSE:RLX) was the recipient of some unusual options trading on Wednesday. Investors purchased 2,642 call options on the company. This represents an increase of approximately 1,019% compared to the average daily volume of 236 call options.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on RLX. Weiss Ratings reaffirmed a “hold (c)” rating on shares of RLX Technology in a research report on Wednesday, October 8th. Wall Street Zen upgraded RLX Technology from a “sell” rating to a “hold” rating in a research note on Monday. Two research analysts have rated the stock with a Hold rating, According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $2.25.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. BNP Paribas Financial Markets purchased a new stake in RLX Technology during the third quarter valued at approximately $60,000. Cresset Asset Management LLC purchased a new stake in shares of RLX Technology during the 3rd quarter valued at $66,000. Brevan Howard Capital Management LP purchased a new stake in shares of RLX Technology during the 3rd quarter valued at $73,000. Vanguard Personalized Indexing Management LLC boosted its position in shares of RLX Technology by 73.8% in the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 40,168 shares of the company’s stock worth $89,000 after purchasing an additional 17,060 shares in the last quarter. Finally, Y Intercept Hong Kong Ltd purchased a new position in RLX Technology during the 2nd quarter worth $99,000. Hedge funds and other institutional investors own 22.68% of the company’s stock.

RLX Technology Stock Up 0.2%

Shares of NYSE:RLX opened at $2.30 on Thursday. The firm has a 50 day moving average of $2.36 and a 200 day moving average of $2.38. The company has a market capitalization of $3.60 billion, a price-to-earnings ratio of 32.79 and a beta of 1.10. RLX Technology has a 52 week low of $1.66 and a 52 week high of $2.84.

RLX Technology (NYSE:RLX) last announced its earnings results on Friday, November 14th. The company reported $0.02 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.03 by ($0.01). The company had revenue of $158.63 million for the quarter, compared to the consensus estimate of $139.99 million. RLX Technology had a net margin of 21.05% and a return on equity of 4.74%.

RLX Technology Increases Dividend

The business also recently announced an annual dividend, which will be paid on Monday, February 9th. Shareholders of record on Monday, January 26th will be paid a $0.10 dividend. This represents a yield of 390.0%. This is a boost from RLX Technology’s previous annual dividend of $0.01. The ex-dividend date is Monday, January 26th. RLX Technology’s payout ratio is presently 14.29%.

RLX Technology declared that its Board of Directors has approved a share buyback program on Wednesday, December 31st that permits the company to repurchase $0.00 in shares. This repurchase authorization permits the company to purchase shares of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s board believes its stock is undervalued.

RLX Technology Company Profile

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.