Rolls-Royce Share Price: RR Stock Pulls Back After 113% Rally Despite Buybacks

Shares of Rolls-Royce Holdings plc edged lower at the London open on Thursday, January 22, 2026, even as the company confirmed further progress under its £200 million share buyback programme.

RR stock was last seen trading near 1,275p, easing back from recent highs after a sharp multi-month rally that has already lifted the share price by more than 110% year-on-year.

The modest pullback came as investors digested a fresh regulatory filing confirming additional buyback activity, while broader profit-taking emerged following the stock’s strong run into early 2026.

Why Rolls-Royce Shares Fell at the London Open

Rolls-Royce disclosed that it repurchased 534,258 ordinary shares on January 21 as part of its ongoing buyback programme, with the shares set to be cancelled. The update follows a steady cadence of daily buyback disclosures that have helped underpin the stock’s advance over the past year.

According to Investegate filings, the group has now bought back more than 6.6 million shares since the programme began, at an average price close to recent market levels.

While buybacks are typically supportive for valuation, traders appeared to lock in gains after RR briefly approached its recent peak near 1,350p, a level that has now emerged as short-term resistance on the chart.

Rolls-Royce Full-Year 2025 Results Date: What to Watch on Feb. 26, 2026

Rolls-Royce is scheduled to release its full-year 2025 results on February 26, 2026, and that event is likely to be the next major catalyst for the RR share price. Investors will be focused on free cash flow, any update on the £200 million share buyback programme, and 2026 guidance, especially around civil aerospace demand, margins, and delivery timelines. Any upside surprise on cash generation or guidance can support the rally, while cautious commentary could trigger a deeper pullback after the strong run.

Rolls-Royce Share Price Chart Analysis

Based on the daily chart:

• Trend: RR remains in a well-defined long-term uptrend, with higher highs and higher lows intact despite the recent dip
• Resistance: The area around 1,340p–1,350p continues to cap upside momentum
• Support: Initial support sits near 1,240p–1,250p, aligned with the 20-day moving average
• Momentum: MACD remains positive, though momentum has cooled from overbought levels, consistent with consolidation rather than reversal

Overall, price action suggests healthy digestion of gains, not a breakdown in trend.

Is Rolls-Royce Still Attractive After a 113% Rally?

After a 113% surge over the past 12 months, the question is no longer whether Rolls-Royce Holdings plc has rallied too far, but whether earnings, cash flow, and capital returns can continue to justify higher valuations in 2026.

While RR shares are currently trading around 4% below their recent 52-week high, that pullback reflects consolidation rather than fading demand. According to MarketWatch, the stock remains firmly bid as buybacks, defence contracts, and improving free cash flow underpin investor confidence.

Analysts cited by The Motley Fool UK argue that upside toward £16.25 remains achievable if Rolls-Royce sustains execution, expands margins, and continues returning capital. With buybacks shrinking share count and defence revenues adding stability, the market is increasingly valuing Rolls-Royce less as a turnaround story and more as a cash-generative industrial compounder.

In that context, short-term pullbacks are being treated as entry opportunities, not exit signals.