Apple's bad period in China has led to a $20bn rise in Xiaomi's capitalisation in less than six months

Xiaomi's stock has started to skyrocket after hitting a low in June 2023. In that time, the exchange rate has risen by 60%.

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Xiaomi managed to become the best performing company in the Hang Seng Tech index. Analysts believe that the success of the Chinese manufacturer in the second half of the year is largely due to the low sales of Apple in the market of the Middle Kingdom.

Xiaomi recently announced a line of flagship smartphones priced from $545-890. The company said that sales of the Xiaomi 14 and Xiaomi 14 Pro exceeded 1.44 million units in 10 days, a record in this price segment.

Investor interest is also linked to the upcoming launch of the Chinese brand's first electric car. The growth of share price by 60% led to the fact that the capitalisation of Xiaomi increased by $20 billion. Analysts of JPMorgan Chase & Co believe that securities will continue to rise in price against the background of recovery of the Chinese market of smartphones, where Apple is beginning to lose ground.

Source: Bloomberg