Citi: Maintains "Buy" rating on XIAOMI-W (01810) with target price raised to 52 Hong Kong dollars.

DBS released a research report stating that it maintains a "buy" rating on XIAOMI-W (01810), with the target price raised from HK$36 to HK$52. The bank mentioned that Xiaomi Group continues to enhance its artificial intelligence capabilities, aiming to use AI to improve the competitiveness of smartphones and IoT products, surpassing other Android competitors. DBS believes that the company's diversified sources of income help mitigate the impact of weak demand for smartphones in the Chinese market. The bank predicts that the shipments of the Xiaomi 15 series will be 30% higher than the Xiaomi 14 series, positioning Xiaomi favorably in the AI-driven phone replacement cycle in 2025. In addition, the shipments of Xiaomi's high-end smartphones last year and this year are expected to grow by 34% and 19% respectively, surpassing market expectations by 2% and 6%. It is expected that Xiaomi's profits will increase by 65% in 2025, with profit forecasts for this year and next year being raised by 13.4% and 15.3% respectively.