Xiaomi

Company overview.

Xiaomi is one of the world's leading smartphone companies. The company’s market share in terms of smartphone shipments ranked no.2 globally in the second quarter of 2021. The company has also established the world’s leading consumer AIoT (AI+IoT) platform, with 374.5 million smart devices connected to its platform (excluding smartphones and laptops) as of June 30, 2021.

Xiaomi products are present in more than 100 countries and regions around the world. In August 2021, the company made the Fortune Global 500 list for the third time, ranking 338th, up 84 places compared to 2020.

Is XIAOMI a good pick?

During 2021, the company maintained an increase in profits the first 2 quarters of the year, but in its third quarter reported a revenue below 70%, compared to the same quarter of 2020 so the company lost the good record in 2021.

The positioning of the company in recent years has been great and in July 2021 the company was positioned as the second-largest smartphone manufacturer in the world, taking that position away from Apple, in the coming years with the implementation of 5G, Xiaomi will give much to talk about and we must take into account its potential worldwide.

Technical Analysis.

Since August 2021 the stock has been in a downtrend, with correction periods of almost 20%, but the trend is constant and in the last six months the price has lost 39% of its value.

The RSI indicator is currently in the neutral zone, in the last week it has increased and has moved out of the oversold zone, and if we look at the MACD, we find that it crossed its signal on December 25 and is looking to reach the neutral zone in the next few days.

On the other hand, the price is close to the SMA50, if the price continues with a good level of volume, it would not break strongly and would go up at least 8%. up to the first Fibonacci resistance at 20.13 HKD.