Bank of America Securities: Maintaining the Xiaomi Group-W (01810) “Buy” Rating Brings Support by Pricing New Cars in the Pengcheng Series

The Zhitong Finance App learned that Goldman Sachs released a research report stating that it maintains the “buy” rating of Xiaomi Group-W (01810), with a target price of HK$40. Xiaomi released a new technology platform, the “Xiaomi Kunlun Technical Architecture”, and the Group's first extended-range electric vehicle series “Pengcheng”, simultaneously launching two new models, the five-seater N70 Max and the seven-seater N90 Max. The biggest highlight of the new car is that the Kunlun technical architecture uses a flat rectangular car platform design with an area of 4.4 square meters, which is extremely rare among SUVs in the same class, and can provide highly flexible and diverse usage scenarios.

In terms of price, the pre-sale price of the N70 Max is 259,900 yuan, which is about 300,000 yuan lower than market expectations; the pre-sale price of the N90 Max is 299,900 yuan, which is also lower than the market's forecast of 350,000 to 400,000 yuan. The bank expects that Xiaomi's electric vehicle deliveries will regain growth momentum after the launch of new models in the second half of the year, supporting the Group's gross margin and valuation performance. The pre-order situation and upcoming second-quarter results (August 18) are key factors worth watching.