Should I Buy RLX? RLX 2026 Analysis

Should You Buy RLX Technology Inc (RLX) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Buy

Latest Price

2.330

1 Day change

-0.85%

52 Week Range

2.840

Analysis Updated At

2026/01/26

RLX Technology Inc. is a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 available for investment. The company's strong financial growth, hedge fund buying activity, bullish technical indicators, and low put-call ratios in options data support a positive outlook. Despite the lack of recent news or congress trading data, the overall sentiment and data suggest a favorable long-term investment opportunity.

Technical Analysis

The technical indicators for RLX are bullish. The MACD is positive and expanding, the RSI is neutral at 73.291, and the moving averages are aligned bullishly (SMA_5 > SMA_20 > SMA_200). Key support and resistance levels indicate a pivot at 2.309, with resistance at 2.401 and 2.457, and support at 2.217 and 2.161. The pre-market price of 2.335 is above the pivot, suggesting upward momentum.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

The low put-call ratios indicate strong bullish sentiment in the options market. Additionally, implied volatility is high (94.78), and open interest has increased significantly, suggesting active interest in the stock.

Technical Summary

Sell

Buy

Positive Catalysts

Hedge funds are significantly increasing their positions, with a 3571.52% increase in buying activity over the last quarter.
Strong financial performance in Q3 2025, with revenue up 52.18% YoY, net income up 22.64% YoY, and EPS up 23.08% YoY.
Bullish technical indicators and strong pre-market price movement (+1.97%).

Neutral/Negative Catalysts

No recent news or significant insider trading activity.
Historical data suggests a 70% chance of a slight price drop (-1.93%) in the next day, though this is offset by a higher probability of gains in the next week and month.

Financial Performance

RLX Technology Inc. reported strong financial growth in Q3 2025. Revenue increased by 52.18% YoY to $1.03 billion, net income rose by 22.64% YoY to $203.16 million, and EPS grew by 23.08% YoY to $0.16. Gross margin also improved by 12.47% YoY to 34.1%. These metrics indicate robust financial health and growth potential.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

No recent analyst ratings or price target updates are available for RLX. However, the company's strong financial performance and bullish sentiment from hedge funds suggest a positive outlook.

Analyst Rating

Wall Street analysts forecast RLX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for RLX is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

Buy

Hold

Sell

Current: 2.350

Low

Averages

High

Current: 2.350

Low

Averages

High

Citi

Neutral

downgrade

AI Analysis

2025-05-18

Reason

Citi

Price Target

AI Analysis

2025-05-18

downgrade

Neutral

Reason

Citi lowered the firm's price target on RLX Technology to $2.25 from $2.50 and keeps a Neutral rating on the shares. The company's Q1 results came broadly in line, the analyst tells investors in a research note. The firm trimmed earnings forecasts on a more conservative margin outlook amid the challenging market.

Citigroup

Lydia Ling

Strong Buy

Hold

Downgrades

$2.8 → $2.5

2025-03-17

Reason

Citigroup

Lydia Ling

Price Target

$2.8 → $2.5

2025-03-17

Downgrades

Strong Buy

Hold

Reason

Citi analyst Lydia Ling downgraded RLX Technology to Neutral from Buy with a price target of $2.50, down from $2.80, following the Q4 report. The firm is concerned about the "evolving" regulatory changes and pricing pressure from an unfavorable product mix shift towards puff products in the vaping industry. The analyst expects growth momentum of RLX's overseas business to be adversely impacted by the shift.

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RLX Should I Buy

RLX Should I Buy

Should You Buy RLX Technology Inc (RLX) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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