Xiaomi’s global market share value has risen well beyond the expectations of the analysts, as it stands the smartphone market of the company is valued to be well beyond $100 billion.
In mainland China, the company became the 13th organization to have crossed a record of $100 billion in stock value. The stocks rallied up as much as 9.1% last week, and the executives cannot be happier.
With various restrictions placed by the US and other countries on Chinese tech giants, it was hard for the company to achieve such a feat. The company is majorly known for its Smartphone business and the stock value was not gaining as much as it was supposed to be.
But in August the company’s stock value saw a change for good. shares have increased more than twice in their value ever since. Strong sales during China’s “Double 12″ shopping festival have helped fuel this month’s 20% stock jump, and a proposal to boost the weighting of companies like Xiaomi in the Hang Seng Index to 8% from 5% could lead to further gains.
In November, the company reported its fastest quarterly sales growth in two years, while earnings beat analysts’ estimates. It remains one of the few major Chinese tech firms to enjoy strong growth abroad while also benefiting from China’s adoption of 5G technology and winning domestic market share from competitor Huawei Technologies Co.
Of course, most of its gains come from the fact that its smartphone segment is still currently viewed as one of the best manufacturing section in the market. with users demanding high-performing devices, the performance of the sector will still improve in the coming months.
