17.04.2025

Xiaomi Stock: Recovery and Perspectives

Xiaomi Stock: Price Increase and Market Analyses

On April 17, 2025, the Xiaomi stock showed a recovery after recent turbulence, rising by 3.95% to over 4.70 euros. This development suggests that the stock might approach the psychologically important 5-euro mark. What factors should private investors and small investors consider?

Current Price Development

  • Recovery after Setbacks: After a decline of over 8% the day before, due to the cancellation of the YU7 SUV presentation, the stock stabilized significantly on Thursday.
  • 52-week Range: The current price of around 4.70 euros is 36% below the annual high of 7.40 euros and 64% above the low of 1.69 euros.

Drivers of Volatility

  1. Cancelled YU7 Presentation: The postponement of the YU7 SUV presentation without giving reasons fueled speculation about possible connections to accidents with the SU7 model and affected confidence.
  2. Tariff Risks and Market Sentiment: Discussions about US tariffs on Chinese products weighed on the stock despite Xiaomi’s low exports of electric cars to the USA.
  3. Fundamentals: The last quarterly result showed a jump in sales, and analysts forecast solid EPS for the entire year 2025.

Opportunities & Risks for Investors

Criterion Details
โœ… Growth Potential Strong potential in the electric car market and rising demand for smartphones in China.
โŒ Short-term Risks Unresolved causes of the YU7 delay and regulatory uncertainties.
๐Ÿ“‰ Technical Situation Medium-term upward trend despite short-term volatility.

Recommendations for Action

  • Monitor the upcoming corporate announcements regarding the YU7 presentation and quarterly figures.
  • Diversification: The stock is speculative, so positions should be adjusted for risk.
  • Long-term Perspective: Despite fluctuations, the electric car business remains a key growth driver.

For small investors, it is crucial to withstand the short-term volatility in favor of the long-term electric mobility boom or to wait for further clarity.

Several sources recommend consulting current analyses and reports for decision-making.