XIAOMI(01810) 国投证券·2024-08-19 23:38Investment Rating - The report assigns a "Buy - A" rating to the company with a 6-month target price of HKD 20.57, based on a valuation of HKD 512.52 billion for 2024 [3][6]. Core Insights - The company is entering a growth cycle with its "people, car, home" ecosystem, leveraging its hardware, IoT, and automotive segments to enhance monetization efficiency [1][2]. - The "Iron Triangle" business model, which combines hardware acquisition, new retail strategies, and internet monetization, has established the company as a global technology player [1][2]. - The company achieved a global smartphone market share ranking in the top three, with overseas revenue accounting for 44.9% of total income in 2023 [1]. Summary by Sections Company Overview - The company was founded in April 2010 and focuses on smartphones, smart hardware, and IoT platforms, utilizing a business model that emphasizes hardware acquisition and internet monetization [10][11]. - The company has expanded its retail channels significantly, with over 10,600 physical stores by February 2023, enhancing its market reach [13]. Strategic Initiatives - The company is focusing on three main hardware terminals: smartphones, smart cars, and IoT products, which are all experiencing rapid growth [1][2]. - The first electric vehicle, Su7, received positive market feedback, with over 88,100 orders in its first month and expectations to exceed 100,000 deliveries by November 2024 [1][10]. Financial Performance - The company reported a revenue of HKD 755.07 billion in Q1 2024, a year-on-year increase of 26.95%, with adjusted net profit reaching a historical high [17][19]. - The revenue structure is diversifying, with smartphones contributing 58%, IoT and consumer products 30%, and internet services 11% in 2023 [19][20]. Market Position - The company has successfully positioned itself as a top-three global smartphone manufacturer, with a significant presence in international markets, particularly in Europe and Southeast Asia [24][26]. - The company is actively pursuing high-end market segments, with a notable increase in the sales proportion of high-end smartphones in China [27][28].