SEHK:1810

Stock Analysis Report

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Executive Summary

Xiaomi Corporation, an Internet company, provides hardware, software, and Internet services in Mainland China and internationally. More Details


Snowflake Analysis

Excellent balance sheet with limited growth.


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: 1810's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.7%

1810

-1.6%

HK Tech

-0.3%

HK Market


1 Year Return

149.2%

1810

91.6%

HK Tech

0.7%

HK Market

Return vs Industry: 1810 exceeded the Hong Kong Tech industry which returned 91.6% over the past year.

Return vs Market: 1810 exceeded the Hong Kong Market which returned 0.7% over the past year.


Shareholder returns

1810IndustryMarket
7 Day-3.7%-1.6%-0.3%
30 Day8.7%0.8%0.2%
90 Day40.5%35.8%0.3%
1 Year149.2%149.2%94.7%91.6%4.9%0.7%
3 Yearn/a-10.9%-20.5%-5.8%-16.1%
5 Yearn/a-34.7%-45.8%14.0%-5.4%

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

Valuation

Is Xiaomi undervalued compared to its fair value and its price relative to the market?

39.51x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 1810 (HK$22.4) is trading above our estimate of fair value (HK$4.58)

Significantly Below Fair Value: 1810 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 1810 is poor value based on its PE Ratio (39.5x) compared to the HK Tech industry average (10.4x).

PE vs Market: 1810 is poor value based on its PE Ratio (39.5x) compared to the Hong Kong market (11.3x).


Price to Earnings Growth Ratio

PEG Ratio: 1810 is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: 1810 is overvalued based on its PB Ratio (5.2x) compared to the HK Tech industry average (0.6x).


Next Steps

Future Growth

How is Xiaomi forecast to perform in the next 1 to 3 years based on estimates from 34 analysts?

19.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1810's forecast earnings growth (19.4% per year) is above the savings rate (1.6%).

Earnings vs Market: 1810's earnings (19.4% per year) are forecast to grow slower than the Hong Kong market (22.2% per year).

High Growth Earnings: 1810's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1810's revenue (18.2% per year) is forecast to grow faster than the Hong Kong market (13.2% per year).

High Growth Revenue: 1810's revenue (18.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1810's Return on Equity is forecast to be low in 3 years time (15.3%).


Next Steps

Past Performance

How has Xiaomi performed over the past 5 years?

51.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1810 has a large one-off gain of CN¥4.8B impacting its June 30 2020 financial results.

Growing Profit Margin: 1810's current net profit margins (5.4%) are lower than last year (5.8%).


Past Earnings Growth Analysis

Earnings Trend: 1810 has become profitable over the past 5 years, growing earnings by 51% per year.

Accelerating Growth: 1810's earnings growth over the past year (5.8%) is below its 5-year average (51% per year).

Earnings vs Industry: 1810 earnings growth over the past year (5.8%) exceeded the Tech industry 5%.


Return on Equity

High ROE: 1810's Return on Equity (12.9%) is considered low.


Next Steps

Financial Health

How is Xiaomi's financial position?


Financial Position Analysis

Short Term Liabilities: 1810's short term assets (CN¥142.1B) exceed its short term liabilities (CN¥92.7B).

Long Term Liabilities: 1810's short term assets (CN¥142.1B) exceed its long term liabilities (CN¥15.7B).


Debt to Equity History and Analysis

Debt Level: 1810's debt to equity ratio (26%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 1810's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 1810's debt is well covered by operating cash flow (38.3%).

Interest Coverage: 1810 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Xiaomi current dividend yield, its reliability and sustainability?

0.098%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1810's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 1810's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 1810's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1810'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 1810's dividend in 3 years as they are not forecast to pay a notable one for the Hong Kong market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Jun Lei (51 yo)

no data

Tenure

Mr. Jun Lei has been Chairman of the Board of Kingsoft Cloud Holdings Limited since April 2015 and its Director since August 2008. He serves as the Chairman of the Board and Chief Executive Officer of Xiao ...


Leadership Team

NamePositionTenureCompensationOwnership
Jun Lei
Founderno datano data27.66%
CN¥ 148.1b
Bin Lin
Co-Founder1yrno data9.92%
CN¥ 53.1b
Xiang Wang
President0.92yrno datano data
Feng Hong
Co-Founder & Senior Vice Presidentno datano datano data
De Liu
Co-founderno datano datano data
Chuan Wang
Co-founderno datano data0.99%
CN¥ 5.3b
Yan Luo
General Manager1.58yrsno datano data
Wanqiang Li
Co-founderno datano datano data
Alain Lam
VP & CFOno datano datano data
Feng Zhang
VP, Chief of Staff & GM of Laptop Computer Departmentno datano datano data
Murlikrishnan B.
Chief Operating Officer of India2.25yrsno datano data
Manu Jain
VP & MD of Xiaomi Indiano datano datano data

1.6yrs

Average Tenure

48yo

Average Age

Experienced Management: 1810's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jun Lei
Founderno datano data27.66%
CN¥ 148.1b
Bin Lin
Co-Founder1yrno data9.92%
CN¥ 53.1b
Shou Zi Chew
Senior VP1yrno data0.18%
CN¥ 984.1m
Shun Wong
Independent Non-Executive Director2.33yrsno datano data
Qin Liu
Non-Executive Director10.42yrsno datano data
Chen Dongsheng
Independent Non-Executive Director2.33yrsno datano data
Wai Cheung Tong
Independent Non-Executive Director1.17yrsno datano data

1.8yrs

Average Tenure

52yo

Average Age

Experienced Board: 1810's board of directors are not considered experienced ( 1.8 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: 1810 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Xiaomi Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Xiaomi Corporation
  • Ticker: 1810
  • Exchange: SEHK
  • Founded: 2010
  • Industry: Technology Hardware, Storage and Peripherals
  • Sector: Tech
  • Market Cap: HK$535.291b
  • Shares outstanding: 24.11b
  • Website: https://www.mi.com

Number of Employees


Location

  • Xiaomi Corporation
  • Xiaomi Campus
  • Anningzhuang Road
  • Beijing
  • Beijing Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
1810SEHK (The Stock Exchange of Hong Kong Ltd.)YesClass B Ordinary SharesHKHKDJul 2018
XIAC.FOTCPK (Pink Sheets LLC)YesClass B Ordinary SharesUSUSDJul 2018
3CPDB (Deutsche Boerse AG)YesClass B Ordinary SharesDEEURJul 2018
1810SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesClass B Ordinary SharesHKHKDJul 2018
1810SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesClass B Ordinary SharesHKHKDJul 2018
XIAC.YOTCPK (Pink Sheets LLC)UNSPON ADS EACH REP 5 ORD SHSUSUSDAug 2018
3CPADB (Deutsche Boerse AG)UNSPON ADS EACH REP 5 ORD SHSDEEURAug 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 Serv ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/21 12:45
End of Day Share Price2020/10/21 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.