Xiaomi (1810) AI Stock Analysis

• Market Cap: HK$1.11T
• Dividend Yield: N/A
• Average Volume (3M): 198.83M
• Price to Earnings (P/E): 22.0
• Beta (1Y): 1.10
• Revenue Growth: 35.67%
• EPS Growth: 122.22%
• Country: HK
• Employees: 43,688
• Sector: Technology
• Sector Strength: 88
• Industry: Consumer Electronics
• EPS (TTM): 0.52
• Shares Outstanding: 21,533,160,000
• 10 Day Avg. Volume: 195,910,385
• 30 Day Avg. Volume: 198,830,597
• PEG Ratio: 0.92
• Price to Book (P/B): 4.37
• Price to Sales (P/S): 2.25
• P/FCF Ratio: 25.76
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$55.31
• Price Target Upside: 32.38% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 27
• EPS Forecast (FY): 1.84
• Revenue Forecast (FY): HK$518.71B

• Rating: 71 Outperform
• Price Target: HK$51.00 ▲(22.07% Upside)

Xiaomi's overall stock score is driven by its strong financial performance and positive earnings call sentiment, which highlight robust growth and profitability. However, technical analysis indicates bearish momentum, and the valuation suggests potential overvaluation. These factors balance the score, reflecting both strengths and risks.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial health.

Market Position

Strong market position in smartphones enhances brand recognition and competitive advantage, driving sustained growth.

R&D Investment

Increased R&D investment underscores commitment to innovation, ensuring future product development and competitive edge.

Negative Factors

Smartphone Industry Challenges

Stagnant industry growth may limit expansion opportunities and pressure margins in Xiaomi's core business segment.

Rising Costs

Increased input costs can erode profitability, necessitating strategic cost management to sustain margins.

Market Saturation

Market saturation in mobile phones limits growth potential, requiring diversification and innovation to drive future success.

Xiaomi Business Overview & Revenue Model

Company Description

Xiaomi Corporation, an investment holding company, provides hardware, software, and internet services in Mainland China, India, Europe, and internationally. It operates through Smartphones, IoT and Lifestyle Products, Internet Services, and Others segments. The Smartphones segment sells smartphones. The IoT and Lifestyle Products segment offers smart TVs, laptops, AI speakers, and smart routers; various IoT and other smart hardware products; and lifestyle products. The Internet Services segment provides advertising services and internet value-added services; and engages in the online game and fintech businesses. The Others segment offers hardware repair services for its products. The company also engages in the wholesale and retail of smartphones and ecosystem partners' products; development and sale of software, hardware, and electronic products; procurement and sale of smartphones, ecosystem partners' products, and spare parts; procurement of raw materials; and operation of retail stores. It is also involved in the research and development of computer software and information technology; property management and commercial factoring activities; e-commerce and market research businesses; sale of e-books; investment, asset management, project investment, property management, and investment consulting, as well as technology diffusion, transfer, and consulting activities; and provision of internet finance, consumer loan, virtual banking, software related, information technology advisory, electronic payment, and internet services. Xiaomi Corporation was incorporated in 2010 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

Xiaomi generates revenue through multiple key streams, primarily from the sale of smartphones, which contribute a significant portion of its income. The company employs a unique pricing strategy, often selling devices at low margins to capture market share and increase brand loyalty. Additionally, Xiaomi earns revenue from its extensive range of IoT and lifestyle products, such as smart TVs, home appliances, and wearables. Another important revenue stream is its internet services, which include app revenues, advertising, and subscriptions for various services within its ecosystem. Partnerships with local and international retailers also play a crucial role in expanding its distribution channels. Furthermore, Xiaomi invests in research and development to innovate and maintain its competitive edge in the tech market, thereby enhancing its revenue potential.

Xiaomi Financial Statement Overview

Summary

Xiaomi demonstrates a solid financial performance across all verticals. The income statement reflects strong revenue growth and profitability, while the balance sheet shows a stable financial position with low leverage. The cash flow statement highlights robust cash generation, supporting future growth. Overall, Xiaomi is well-positioned in the consumer electronics industry, with a strong financial foundation and growth prospects.

Income Statement

Xiaomi's income statement shows strong performance with a consistent revenue growth rate of 6.74% in the TTM period. The gross profit margin is healthy at 21.19%, and the net profit margin has improved to 7.57%, indicating effective cost management and profitability. The EBIT and EBITDA margins are also robust, reflecting efficient operations. Overall, the income statement indicates a positive growth trajectory and profitability.

Balance Sheet

The balance sheet is stable with a low debt-to-equity ratio of 0.13, suggesting prudent financial leverage. Return on equity is strong at 15.63%, indicating effective use of shareholder funds. The equity ratio is solid, reflecting a strong capital structure. However, the company should monitor its debt levels to maintain financial stability.

Cash Flow

Xiaomi's cash flow statement shows a significant improvement in free cash flow growth at 29.90% in the TTM period, indicating strong cash generation capabilities. The operating cash flow to net income ratio is healthy, and the free cash flow to net income ratio of 0.91 suggests efficient cash conversion. Overall, the cash flow position is strong, supporting the company's growth and operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	428.76B	365.91B	270.97B	280.04B	328.31B	245.87B
Gross Profit	92.84B	76.56B	57.48B	47.58B	58.26B	36.75B
EBITDA	38.91B	27.41B	18.45B	8.53B	22.03B	11.05B
Net Income	37.21B	23.66B	17.48B	2.47B	19.34B	20.36B
Balance Sheet
Total Assets	481.20B	402.96B	323.29B	269.64B	292.36B	253.06B
Cash, Cash Equivalents and Short-Term Investments	117.27B	105.94B	112.17B	70.72B	90.33B	98.91B
Total Debt	35.86B	35.99B	29.74B	25.69B	29.47B	18.43B
Total Liabilities	228.51B	213.84B	159.51B	127.75B	155.18B	129.35B
Stockholders Equity	252.31B	188.64B	163.51B	141.63B	136.97B	123.39B
Cash Flow
Free Cash Flow	62.52B	32.00B	35.03B	-10.19B	2.62B	18.85B
Operating Cash Flow	64.82B	39.30B	41.30B	-4.39B	9.79B	21.88B
Investing Cash Flow	-98.22B	-35.39B	-35.17B	15.55B	-45.01B	-17.68B
Financing Cash Flow	29.98B	-4.00B	-504.97M	-7.85B	4.50B	26.22B

Xiaomi Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 41.78
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1810, the sentiment is Neutral. The current price of 41.78 is above the 20-day moving average (MA) of 40.80, below the 50-day MA of 44.90, and below the 200-day MA of 50.98, indicating a neutral trend. The MACD of -0.76 indicates Negative momentum. The RSI at 47.77 is Neutral, neither overbought nor oversold. The STOCH value of 53.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:1810.

Xiaomi Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1810	71 Outperform	HK$1.11T	22.05	19.56%	―	35.67%	122.22%
1070	66 Neutral	$23.24B	10.34	13.06%	2.87%	21.26%	94.52%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
0751	53 Neutral	$7.55B	26.63	1.76%	―	6.10%	-70.77%

Xiaomi Corporate Events

Xiaomi Founder Increases Stake, Signaling Confidence in Future Growth

Xiaomi Corporation announced that its founder and controlling shareholder, Mr. Lei Jun, has increased his shareholding in the company by purchasing 2,600,000 Class B ordinary shares. This move reflects Mr. Lei’s strong confidence in the company’s future prospects and growth potential, reinforcing his long-term commitment to Xiaomi. The board views this as a positive signal for stakeholders, although they advise caution in dealing with the company’s securities.

Xiaomi Announces Significant Share Awards and Options to Employees

Xiaomi Corporation announced the grant of 29,366,734 Award Shares to 3,334 selected participants under its 2023 Share Scheme, which includes employees and service providers. Additionally, Xiaomi HK granted 496,300 XMHK Options to three employees under the 2024 Xiaomi HK Share Scheme. These awards are part of the company’s strategy to incentivize and retain talent, with a vesting period extending up to 2034 and a performance-based vesting schedule. The announcement reflects Xiaomi’s commitment to aligning employee performance with company goals, potentially impacting its operational efficiency and stakeholder engagement.

Xiaomi Reports Strong Q3 2025 Financial Results with Record Growth

Xiaomi Corporation announced its unaudited financial results for the third quarter of 2025, showcasing a significant year-over-year revenue increase of 22.3% to RMB113.1 billion. The company’s strategic focus on ‘Human × Car × Home’ has led to record-high adjusted net profits and substantial growth in its smart electric vehicle and AI segments. Xiaomi’s global monthly active users reached a new peak, and the number of connected IoT devices surpassed 1 billion, highlighting its expanding user ecosystem and robust market positioning.

Xiaomi Board to Review Q3 Financial Results on November 18, 2025

Xiaomi Corporation has announced that its board of directors will meet on November 18, 2025, to review and approve the unaudited consolidated third-quarter results for the company and its subsidiaries. This meeting is significant as it will provide insights into the company’s financial performance for the three and nine months ending September 30, 2025, potentially impacting stakeholder confidence and market positioning.