10 Best Tobacco and Cigarette Stocks to Buy Now

5. RLX Technology Inc. (NYSE:RLX)

Number of Hedge Fund Holders: 19

Market Cap as of April 25: $2.18 billion

RLX Technology Inc. (NYSE:RLX) manufactures e-vapor products for adult smokers. Its “Branded store plus” retail concept and integrated offline distribution are specifically designed for the Chinese e-vapor market.

The company had a great year in 2024, growing its revenue for the seventh straight quarter and achieving a 73% YoY rise in full-year revenues. In 2024, RLX Technology Inc. (NYSE:RLX) achieved a non-GAAP operating income of RMB 262.5 million for the entire year, and its gross profit margin climbed to 26.4%. Following the conclusion of a major noncompete agreement in November 2023, international expansion and a successful localized strategy for multiple areas were the main drivers of this financial achievement. It is one of the Best Tobacco Stocks.

The firm’s gross profit margin grew by two percentage points to 26.4% for the entire year. The gross profit margin climbed to 27.2% in the fourth quarter, up 3.3 percentage points from the previous year. In the fourth quarter, operating cash inflow was RMB 497 million, and as of December 31, 2024, total financial assets were RMB 15.9 billion. Furthermore, RLX Technology Inc. (NYSE:RLX) obtained a double A grade from MSCI, the highest ESG rating in the global tobacco market.