Goldman Sachs released a report, reiterating the 'buy' rating on Xiaomi (01810.HK), raising the target price from 24.7 yuan to 27.5 yuan. This is evaluated comprehensively because Xiaomi continues to achieve early success with its user-centric 'People's Car Ecosystem' strategy in mainland China and globally, and the execution of electric vehicles is strengthening. Due to the increase in production capacity of Xiaomi Automobile's Phase 1 plant, the bank has raised the delivery volume forecast for SU7 from 2025 onwards to over 0.225 million vehicles per year.

In addition, the bank introduces assumptions for SU7 Ultra, expecting sales of 4,000 vehicles in 2025, with an average price of 0.8 million RMB, accounting for 5% of the electric vehicle revenue. The bank also raised the forecast for Xiaomi's second electric vehicle, estimating that the delivery time may be earlier than expected, expecting deliveries of 0.04 million and 0.21 million vehicles in 2025 and 2026, accounting for 15% and 44% of the electric vehicle revenue respectively.

The bank believes that October is a strong month for Xiaomi, in addition to the increase in SU7 deliveries and related SU7 Ultra information, the bank expects Xiaomi's flagship smart phone series Xiaomi 15 to be released at the end of the month. Shipments of the Xiaomi 14 series are 80% higher than the previous series, contributing to approximately 20% of smart phone revenue. In contrast, the bank expects Xiaomi 15 to have a higher average price, with a stable shipment volume lifecycle in the Chinese market and positive shipment volumes in overseas markets.

The bank has raised the group revenue forecast for Xiaomi from 2024 to 2026 by 0%, 3%, and 8%, reflecting the expected increase in electric vehicle shipments, with estimated shipments reaching 0.12 million, 0.269 million, and 0.473 million vehicles from 2024 to 2026. The net profit forecast for Xiaomi from 2024 to 2025 remains largely unchanged, with a 10% upward revision for 2026; the core profit forecasts for 2024 to 2026 are 29 billion, 31 billion, and 34 billion RMB respectively, while the adjusted net losses for the smart electric vehicle division are estimated to be 7.8 billion, 7.3 billion, and 3.1 billion RMB respectively.