Latest news with #YU7
CNBC
5 hours ago
- Business
- CNBC
Apple's China rival Xiaomi still has major upside, analysts say, even after record earnings
Chinese smartphone company Xiaomi in the last week reported record net profit for a second-straight quarter, bolstering several analysts' conviction on the Hong Kong-listed stock. In absolute dollar terms, Xiaomi's earnings are still a fraction of Apple's . But the Chinese company has a larger smartphone market share in China , and has built an electric vehicle business, while the iPhone maker dropped its car plans . Apple in recent months has also come under pressure from the Trump administration over its overseas supply chain. Apple shares are down 20% year-to-date to around $200. Xiaomi's have gained more than 45% to 50.95 Hong Kong dollars ($6.50) a share. Following Xiaomi's earnings report on May 27, Jefferies analysts raised their price target to 73 HKD, up from 69.50 HKD previously — for upside of 43% from Friday's close. The analysts attributed the company's earnings beat to outperformance in "AIoT." The category refers to Xiaomi's appliances, which incorporate artificial intelligence functions and can be controlled remotely over the internet using an app. Xiaomi's adjusted net income for the first quarter was 10.68 billion yuan ($1.48 billion), beating the expected 9.48 billion yuan, according to a FactSet analyst poll. Revenue of 111.29 billion yuan also came in above the 108.49 billion yuan predicted by the poll. In smartphones, Xiaomi has become more conservative about the global outlook, but the Jefferies analysts pointed out the company will likely continue to gain market share in the high-end China market with its new Xring O1 chip. Xiaomi officially revealed the chip on May 22 and said it would power its new 15S Pro smartphone, which sells for far less than Apple's iPhone 16 Pro in China. CEO Lei Jun claimed at the event that Xiaomi's Xring O1 Apple's A18 Pro on several metrics, including the ability to operate a game with less heat. Smartphones account for just under 40% of Xiaomi's revenue. Appliances and other products make up nearly 22%. "We believe appliances represent major upside in the next two years, but [Xiaomi's electric SUV] YU7 sales will be [the] key [short-term] catalyst," the Jefferies analysts said. Xiaomi revealed its YU7 SUV at the same May 22 event. While the company didn't announce a price, it said an official launch would be held in July and that the new car would come with a longer driving range than rival Tesla's Model Y. "We believe the launch of YU7, scheduled for July 2025, will likely be the most important catalyst for Xiaomi this year," Morgan Stanley analysts said in a May 27 report. They expect the SUV can garner a higher price point than Xiaomi's SU7 electric sedan that hit the market last year. "If sales volume is strong, it could help Xiaomi achieve higher ASPs, better margins, and ongoing earnings growth," the Morgan Stanley analysts said. They rate Xiaomi overweight and have a price target of 62 HKD. In addition to the YU7 release this summer, several analysts said they are looking forward to Xiaomi's investor day, scheduled for June 3. Those are both potential positive catalysts, Macquarie said. "We believe Xiaomi is a beneficiary of rising EV demand, changing consumer behavior, and industry consolidation in China." "The company is widening its core business product offerings, expanding overseas and controlling [operating expenses] to drive profitability," the report said. Macquarie rates the stock outperform, with a price target of 69.32 HKD. JPMorgan analysts kept their neutral rating, however, as they said Xiaomi's ecosystem-related revenue growth was the slowest among major categories — not supportive of a high valuation in their view. They cautioned that while Apple was able to gain value once services started driving growth instead of hardware, Xiaomi has seen accelerating hardware growth while services has grown more slowly. Their price target is 60 HKD, still about 18% above where the stock closed Friday. — CNBC's Michael Bloom contributed to this report.
Fast Company
2 days ago
- Automotive
- Fast Company
Tesla's best-selling Model Y could be dethroned by this newly launched Chinese EV model
A new electric SUV YU7 is displayed at a showroom at a Xiaomi store in Beijing, China May 29, 2025. [Photo: Tingshu Wang/REUTERS] BY Listen to this Article More info 0:00 / 2:52 Xiaomi rolled out its new sports utility vehicle in Beijing on Thursday, as the firm best known for smartphones and consumer electronics gears up to further challenge Tesla in the world's largest auto market. Xiaomi launched the YU7 at 13 of its Beijing showrooms and will start taking orders for the vehicle in July. It is keen to repeat the success of the sporty SU7 sedan, which launched last year and has outsold Tesla's Model 3 on a monthly basis since December. Analysts have said the YU7 could pose a major threat to Tesla's best-selling Model Y but its launch comes at a time when Xiaomi, a relative newcomer to China's highly-competitive EV market, has seen new EV orders fall after a series of controversies. Chinese authorities have been investigating a fatal highway crash at the end of March involving an SU7 in driving-assistance mode and Xiaomi has apologised for 'not clear enough' marketing after customer complaints of false advertising. Liu Jiaxing, a 34-year-old tech worker, was among the first visitors to Xiaomi's flagship showroom in Beijing Oriental Plaza on Thursday morning, eager to catch a glimpse of the emerald green YU7. Liu said he was fond of the styling and colour as well as the fact that Xiaomi vehicles connect with the firm's personal gadgets and smart home products, which he felt pointed to how local brands understood Chinese consumers better than their foreign counterparts. 'I used to be more prone to U.S., German, and French car marques, but the fast progress of China's EV sector prompts me to focus more on the products rather than brands,' he said. Another visitor was Tom van Dillen, managing partner at German management consultancy Greenkern in Beijing, who said he was not a fan of some of the YU7's intelligent features, which he described as 'unnecessary,' but said the YU7 was a formidable challenger to the Model Y. He cited a 'physical ecosystem advantage in the showroom where there is a dedicated area with accessories that only fit into Xiaomi cars' and their competitive price. Xiaomi has said that it will only announce the YU7's pricing in July. advertisement HSBC Qianhai estimated in a note last week that the new SUV will be priced between 230,000 yuan and 330,000 yuan ($31,989-$45,898) and that Xiaomi could ship 100,000 YU7 units this year and 249,000 units in 2026. The Model Y is priced from 263,500 yuan in China. ($1 = 7.1899 Chinese yuan renminbi) —Qiaoyi Li and Alessandro Diviggiano, Reuters The final deadline for Fast Company's Brands That Matter Awards is this Friday, May 30, at 11:59 p.m. PT. Apply today. Sign up for our weekly tech digest. SIGN UP This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply. Privacy Policy
Yahoo
3 days ago
- Automotive
- Yahoo
Tesla rival Xiaomi shows off its new SUV in Beijing
Elon Musk's beleaguered Tesla (TSLA) is fending off yet another competitive EV entry in China. Chinese electronics giant Xiaomi launched the YU7 SUV at 13 of its Beijing showrooms this week and, according to CNEVPOST will roll it out in almost 100 Chinese cities throughout June. While customers can marvel at the YU7, they won't be able to start placing orders for it until July. A robust YU7 launch would build on the success of its sleek SU7 sedan, which launched last year and has been outselling Tesla. The YU7 is a five-seat, mid-to-large-size SUV, clocking in at just over 16 feet in length. CNEVPOST reports that the YU7 will be available in standard, pro, and max versions, each with more amenities than the other. Zoriy Birenboym, auto expert and CEO of tells Quartz that Xiaomi's entry into the EV market with the SU7 was more than just a headline — it was a signal. 'With the YU7 now following, Xiaomi is clearly aiming to scale and diversify its lineup,' Birenboym said, adding that if priced competitively and supported by their strong tech ecosystem, the YU7 could challenge incumbents in the mid-size EV space and further blur the lines between consumer tech and mobility. 'This move could have ripple effects across both the auto and tech industries,' he said. HSBC Qianhai (HSBC) published a note, according to Reuters, stating that the new EV SUV will be priced between 230,000 yuan and 330,000 yuan ($31,989 and $45,898) and that Xiaomi could ship 100,000 YU7 units this year, followed by 249,000 units in 2026. In a regulatory filing with the Chinese government and reported on CNEVPOST, the company said the new SUV is equipped with a battery pack that has a capacity of 101.7 kWh and range available in three options: 670 km, 750 km, and 760 km (416 miles at the low end and 472 at the high end). This would rival Tesla's Model S, which can go just over 400 miles before needing a recharge. For the latest news, Facebook, Twitter and Instagram.
Time of India
3 days ago
- Automotive
- Time of India
Xiaomi's Tesla Y rival YU7 hits showrooms in Beijing
Xiaomi rolled out its new sports utility vehicle in Beijing on Thursday, as the firm best known for smartphones and consumer electronics gears up to further challenge Tesla in the world's largest auto market. Xiaomi launched the YU7 at 13 of its Beijing showrooms and will start taking orders for the vehicle in July. It is keen to repeat the success of the sporty SU7 sedan, which launched last year and has outsold Tesla's Model 3 on a monthly basis since December. Analysts have said the YU7 could pose a major threat to Tesla's best-selling Model Y but its launch comes at a time when Xiaomi, a relative newcomer to China's highly-competitive EV market, has seen new EV orders fall after a series of controversies. Chinese authorities have been investigating a fatal highway crash at the end of March involving an SU7 in driving-assistance mode and Xiaomi has apologised for "not clear enough" marketing after customer complaints of false advertising. Liu Jiaxing, a 34-year-old tech worker, was among the first visitors to Xiaomi's flagship showroom in Beijing Oriental Plaza on Thursday morning, eager to catch a glimpse of the emerald green YU7. Liu said he was fond of the styling and colour as well as the fact that Xiaomi vehicles connect with the firm's personal gadgets and smart home products, which he felt pointed to how local brands understood Chinese consumers better than their foreign counterparts. "I used to be more prone to U.S., German and French car marques, but the fast progress of China's EV sector prompts me to focus more on the products rather than brands," he said. Another visitor was Tom van Dillen, managing partner at German management consultancy Greenkern in Beijing, who said he was not a fan of some of the YU7's intelligent features, which he described as "unnecessary", but said the YU7 was a formidable challenger to the Model Y. He cited a "physical ecosystem advantage in the showroom where there is a dedicated area with accessories that only fit into Xiaomi cars" and their competitive price. Xiaomi has said that it will only announce the YU7's pricing in July. HSBC Qianhai estimated in a note last week that the new SUV will be priced between 230,000 yuan and 330,000 yuan ($31,989-$45,898) and that Xiaomi could ship 100,000 YU7 units this year and 249,000 units in 2026. The Model Y is priced from 263,500 yuan in China.
Yahoo
3 days ago
- Automotive
- Yahoo
Xiaomi's Tesla Y rival YU7 hits showrooms in Beijing
By Qiaoyi Li and Alessandro Diviggiano BEIJING (Reuters) -Xiaomi rolled out its new sports utility vehicle in Beijing on Thursday, as the firm best known for smartphones and consumer electronics gears up to further challenge Tesla in the world's largest auto market. Xiaomi launched the YU7 at 13 of its Beijing showrooms and will start taking orders for the vehicle in July. It is keen to repeat the success of the sporty SU7 sedan, which launched last year and has outsold Tesla's Model 3 on a monthly basis since December. Analysts have said the YU7 could pose a major threat to Tesla's best-selling Model Y but its launch comes at a time when Xiaomi, a relative newcomer to China's highly-competitive EV market, has seen new EV orders fall after a series of controversies. Chinese authorities have been investigating a fatal highway crash at the end of March involving an SU7 in driving-assistance mode and Xiaomi has apologised for "not clear enough" marketing after customer complaints of false advertising. Liu Jiaxing, a 34-year-old tech worker, was among the first visitors to Xiaomi's flagship showroom in Beijing Oriental Plaza on Thursday morning, eager to catch a glimpse of the emerald green YU7. Liu said he was fond of the styling and colour as well as the fact that Xiaomi vehicles connect with the firm's personal gadgets and smart home products, which he felt pointed to how local brands understood Chinese consumers better than their foreign counterparts. "I used to be more prone to U.S., German and French car marques, but the fast progress of China's EV sector prompts me to focus more on the products rather than brands," he said. Another visitor was Tom van Dillen, managing partner at German management consultancy Greenkern in Beijing, who said he was not a fan of some of the YU7's intelligent features, which he described as "unnecessary", but said the YU7 was a formidable challenger to the Model Y. He cited a "physical ecosystem advantage in the showroom where there is a dedicated area with accessories that only fit into Xiaomi cars" and their competitive price. Xiaomi has said that it will only announce the YU7's pricing in July. HSBC Qianhai estimated in a note last week that the new SUV will be priced between 230,000 yuan and 330,000 yuan ($31,989-$45,898) and that Xiaomi could ship 100,000 YU7 units this year and 249,000 units in 2026. The Model Y is priced from 263,500 yuan in China. ($1 = 7.1899 Chinese yuan renminbi)
