Group 1 - Southbound funds net bought Hong Kong stocks worth 74.61 billion HKD on August 21, with notable net purchases in Tencent Holdings (18.71 billion HKD), Meituan-W (13.91 billion HKD), and Xiaomi Group-W (12.74 billion HKD) [1] - Southbound funds have continuously net bought Tencent for 5 days, totaling 55.7254 billion HKD, and Xiaomi for 3 days, totaling 21.9847 billion HKD [1] Group 2 - Tencent's mobile game "Fearless Contract" launched strongly, attracting 1 million USD in player spending on its first day, with approximately 170,000 downloads, matching the performance of its previous game [3] - Meituan's international food delivery brand Keeta launched in Doha, Qatar, marking a significant expansion in the Middle East following its success in Saudi Arabia [3] - Analysts from DBS expect Xiaomi Group-W's valuation to increase due to market share growth across its business segments, driven by IoT and EV business expansion [3] Group 3 - Lao Pu Gold's CFO reported an increase in inventory from 40.88 billion to 86.85 billion, primarily to support new store openings, with inventory turnover days decreasing from 195 to 150 days [4]

Core Viewpoint - DBS analysts believe that Xiaomi Group-W (1810.HK) is likely to see an increase in valuation due to its continuous market share growth across various business segments [1] Group 1: Business Performance - The company's profit margin expansion driven by the Internet of Things (IoT) business and steady growth in the electric vehicle (EV) sector is expected to offset the drag from the sluggish global smartphone growth in the long term [1] - IoT has become a structural profit driver for the company, showing widespread growth [1] - Xiaomi's market share in smart home appliances (air conditioners, refrigerators, washing machines, etc.) continues to increase [1] Group 2: Cost Management - The company is achieving cost savings through its own manufacturing and automation capabilities, which, combined with economies of scale, will continue to support structural improvements in its gross margin [1] Group 3: Analyst Rating - DBS maintains a "Buy" rating on Xiaomi [1]