Insights of Xiaomi.HK
If it would be American company it would be even more. China risk factor every time remains, it is only one China stock I own in my entire portfolio (previously I sold BABA and SNP), but this company is promising a lot of popularity in Asia and Europe, they create high quality
devices for reasonable price, so in emerging markets people will choose Xiaomi instead of apple. And if you are from Europe you can see how many appliances
your neighborhoods have in them domestic environment, so this increase risk apatite. Fingers crossed that US and China trade wars will settle, also can be
COMPLEX facts still need to take concern about——Thus， there a lot of things to consider, this stock is kind of risk reward player, I will hold until China make some conversation with Russia or internal, but not invest more than I have already invested.
Having corporate power substantial enough to interfere with political power is a problem.Because a company that dominant can prevent smaller companies becoming mid-cap successes.
Beyond that. Xiaomi is extremely undervalued, and once the dust settles(war, trade, etc.), it will rise again.
Their sales are growing year after year, also, they are copying Samsung's approach in manufacturing all kinds of el. devices (TVs, cleaners, el. scooters, humidifiers, etc.). Look for instance Samsung's historical path, their trajectory dates from '69, and here we are talking about a 10y. company and we could see how much they have accomplished so far. All these facts are without taking into consideration that they might develop an EV. in the future.
And plus they have great financials so I wonder why the prices are coming down?
Needless to say it is the best value by far among any of the cellphone manufacturers. they are expanding globally into Brazil, Turkey, Russia, and about 20 other markets, and competing well.
Short term pain for long term gain. A healthy middle class will be better for Xiaomi in the long term. I’m far more perplexed by how the us is willing to sacrifice the wellbeing of its citizens so the ultra wealthy can become wealthier.
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