Morgan Stanley: Xiaomi-W (01810) first quarter smartphone gross margin exceeds expectations, average selling price hits new high.

Morgan Stanley released a research report stating that they expect Xiaomi-W (01810) to achieve a record high average selling price for smartphones in the first quarter, as they need to pass on cost pressures. Despite the market generally expecting an impact from the surge in memory costs, the bank predicts that its profit margin is expected to outperform expectations; they maintain a "hold" rating with a target price of HK$45.