Executive Summary
Xiaomi Corporation, an Internet company, provides hardware, software, and Internet services in Mainland China and internationally.
Snowflake Analysis
Excellent balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has Xiaomi's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 3CP's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-3.4%
3CP
-15.2%
DE Tech
-9.1%
DE Market
1 Year Return
8.3%
3CP
0.3%
DE Tech
2.9%
DE Market
Return vs Industry: 3CP exceeded the German Tech industry which returned 0.3% over the past year.
Return vs Market: 3CP exceeded the German Market which returned 2.9% over the past year.
Shareholder returns
| 3CP | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.4% | -15.2% | -9.1% |
| 30 Day | 5.5% | -18.1% | -7.2% |
| 90 Day | 38.5% | 0.6% | -6.5% |
| 1 Year | 8.3%8.3% | 1.1%0.3% | 6.1%2.9% |
| 3 Year | n/a | 119.8%115.2% | 3.5%-5.6% |
| 5 Year | n/a | 76.3%55.9% | 8.0%-6.8% |
Price Volatility Vs. Market
How volatile is Xiaomi's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Xiaomi undervalued compared to its fair value and its price relative to the market?
24.01x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 3CP (€1.42) is trading above our estimate of fair value (€0.15)
Significantly Below Fair Value: 3CP is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 3CP is poor value based on its PE Ratio (24.7x) compared to the Tech industry average (18.7x).
PE vs Market: 3CP is poor value based on its PE Ratio (24.7x) compared to the German market (19.9x).
Price to Earnings Growth Ratio
PEG Ratio: 3CP is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: 3CP is overvalued based on its PB Ratio (3.4x) compared to the XE Tech industry average (1.3x).
Next Steps
Future Growth
How is Xiaomi forecast to perform in the next 1 to 3 years based on estimates from 28 analysts?
18.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 3CP's forecast earnings growth (18.3% per year) is above the savings rate (-0.4%).
Earnings vs Market: 3CP's earnings (18.3% per year) are forecast to grow faster than the German market (13.1% per year).
High Growth Earnings: 3CP's earnings are forecast to grow, but not significantly.
Revenue vs Market: 3CP's revenue (16.2% per year) is forecast to grow faster than the German market (5.1% per year).
High Growth Revenue: 3CP's revenue (16.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 3CP's Return on Equity is forecast to be low in 3 years time (14.2%).
Next Steps
Past Performance
How has Xiaomi performed over the past 5 years?
45.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 3CP has a large one-off gain of CN¥4.2B impacting its September 30 2019 financial results.
Growing Profit Margin: 3CP became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: 3CP has become profitable over the past 5 years, growing earnings by 45% per year.
Accelerating Growth: 3CP has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: 3CP has become profitable in the last year, making it difficult to compare its past year earnings growth to the Tech industry (-1.9%).
Return on Equity
High ROE: 3CP's Return on Equity (13.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Xiaomi's financial position?
Financial Position Analysis
Short Term Liabilities: 3CP's short term assets (CN¥124.5B) exceed its short term liabilities (CN¥77.8B).
Long Term Liabilities: 3CP's short term assets (CN¥124.5B) exceed its long term liabilities (CN¥10.3B).
Debt to Equity History and Analysis
Debt Level: 3CP's debt to equity ratio (19.4%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if 3CP's debt to equity ratio has reduced over the past 5 years.
Balance Sheet
Inventory Level: 3CP has a high level of physical assets or inventory.
Debt Coverage by Assets: 3CP's debt is covered by short term assets (assets are 8x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: 3CP is profitable, therefore cash runway is not a concern.
Forecast Cash Runway: 3CP is profitable, therefore cash runway is not a concern.
Next Steps
Dividend
What is Xiaomi's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate 3CP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate 3CP's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if 3CP's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 3CP's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of 3CP's dividend in 3 years as they are not forecast to pay a notable one for the German market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.2yrs
Average management tenure
CEO
Jun Lei (50yo)
Mr. Lei Jun serves as the Chairman of the Board and Chief Executive Officer of Xiaomi Corporation and has been its Executive Director since May 3, 2010. Mr. Lei co-founded Xiaomi Corporation in 2010. He is ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | 0yrs | no data | 27.76% CN¥9.8b | |
| Co-Founder | 0.3yrs | no data | 11.42% CN¥4.0b | |
| President | 0.3yrs | no data | no data | |
| General Manager | 0.9yrs | no data | no data | |
| Senior VP | 0.3yrs | no data | 0.18% CN¥63.8m | |
| Chief Operating Officer of India | 1.6yrs | no data | no data | |
| Senior VP of Leading Platform | 0yrs | no data | no data | |
| Marketing Head for India | 1.4yrs | no data | no data | |
| President of China Region | 0.2yrs | no data | no data | |
| Joint Company Secretary | 1.8yrs | no data | no data |
1.2yrs
Average Tenure
51yo
Average Age
Experienced Management: 3CP's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | 0yrs | no data | 27.76% CN¥9.8b | |
| Co-Founder | 0.3yrs | no data | 11.42% CN¥4.0b | |
| Senior VP | 0.3yrs | no data | 0.18% CN¥63.8m | |
| Independent Non-Executive Director | 1.7yrs | no data | no data | |
| Independent Non-Executive Director | 1.7yrs | no data | no data | |
| Non-Executive Director | 1.1yrs | no data | no data | |
| Independent Non-Executive Director | 0.5yrs | no data | no data |
0.8yrs
Average Tenure
51yo
Average Age
Experienced Board: 3CP's board of directors are not considered experienced ( 0.8 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 82.7%.
Top Shareholders
Company Information
Xiaomi Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Xiaomi Corporation
- Ticker: 3CP
- Exchange: DB
- Founded: 2010
- Industry: Technology Hardware, Storage and Peripherals
- Sector: Tech
- Market Cap: HK$301.519b
- Listing Market Cap: HK$35.178b
- Shares outstanding: 24.01b
- Website: https://www.mi.com
Number of Employees
Location
- Xiaomi Corporation
- Rainbow City Office Building
- 68 Qinghe Middle Street
- Beijing
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 1810 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Class B Ordinary Shares | HK | HKD | Jul 2018 |
| XIAC.F | OTCPK (Pink Sheets LLC) | Yes | Class B Ordinary Shares | US | USD | Jul 2018 |
| 3CP | DB (Deutsche Boerse AG) | Yes | Class B Ordinary Shares | DE | EUR | Jul 2018 |
| 1810 | SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect) | Yes | Class B Ordinary Shares | HK | HKD | Jul 2018 |
| 1810 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Class B Ordinary Shares | HK | HKD | Jul 2018 |
| XIAC.Y | OTCPK (Pink Sheets LLC) | UNSPON ADS EACH REP 5 ORD SHS | US | USD | Aug 2018 | |
| 3CPA | DB (Deutsche Boerse AG) | UNSPON ADS EACH REP 5 ORD SHS | DE | EUR | Aug 2018 |
Biography
Xiaomi Corporation, an Internet company, provides hardware, software, and Internet services in Mainland China 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. 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; investment holding and investment activities; development of software and hardware; 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 business; research and development of computer software and market research; sale of e-books; and provision of customer, Internet finance, consumer loan, software related, technology, logistics, electronic payment, and Internet services. The company has a strategic cooperation agreement with Meitu, Inc.; and a strategic partnership with TCL Corporation. Xiaomi Corporation was founded in 2010 and is headquartered in Beijing, the People’s Republic of China.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/29 00:39 |
| End of Day Share Price | 2020/02/28 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.