Philip Morris International Inc (PM) is overvalued and RLX Technology Inc ADR (RLX) is slightly undervalued.
Against our estimates of intrinsic value, RLX trades at the wider discount: a margin of safety of +5%, against -29% for PM.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.4% (average of 3 methods) values the shares at $147.10; the price of $190.23 is 29% above that value, and 82% of that value comes from beyond year five.
Leak Score 50/100 on 8 of 12 signals
Discounting its cash flows at 10.3% (average of 3 methods) values the shares at $1.85; the price of $1.75 is 5% below that value, and 71% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
| Metric | PM | RLX |
|---|---|---|
| Verdict | Overvalued | Slightly undervalued |
| Price | $190.23 | $1.75 |
| Intrinsic value | $147.10 | $1.85 |
| Margin of safety | -29% | +5% |
| Leak Score | 50/100 (8/12) | 0/100 (2/12) |
| Market cap | $296.5B | $1.6B |
| Revenue growth, 5 years | 7.2% | -1.9% |
| Operating margin | 37.3% | 13.1% |
| Net margin | 25.6% | 21.9% |
| Return on equity | — | 6.2% |
| Debt to equity | — | 0.02 |
| P/E | 27.3x | 16.0x |
| Forward P/E | 20.8x | 11.4x |
| P/B | — | 0.9x |
| Dividend yield | 3.2% | 7.4% |