Xiaomi officially listed in Hong Kong, A shares concept boiling! Full interpretation of the three highlights (with the list of the most benefited shares)

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Xiaomi officially listed in Hong Kong, A shares concept boiling! Full interpretation of the three highlights (with the list of the most benefited shares)

2018-05-04 00:25:42 240 ℃

On May 3, Xiaomi formally submitted the IPO application to Hong Kong Stock Exchange.

Proximity to millet IPO mediators revealed that current sponsors, investment banks and potential investors generally accept current valuations of at least US$70 billion, and Xiaomi’s market value of more than US$100 billion in the short term after the IPO is very important. Strong> This means that Xiaomi will become the world's largest IPO since 2014.

Highlight 1: The composition of billions of revenues and billions of profits

According to the prospectus, Xiaomi achieved an outbreak of business performance in 2017. The annual revenue for the entire year exceeded 100 billion yuan, reaching 114.6 billion yuan, and operating profit exceeded 10 billion. It was RMB 12.216 billion. Previously, operating profit for 2016 and 2015 was only RMB 3.785 billion and RMB 1.373 billion.

Millet’s revenue is divided into four segments, ranked in descending order of revenue, followed by Smartphones, Internet of Things (IoT) and consumer products, Internet services and others. .

From the revenue point of view, Xiaomi's main reason for the outbreak of revenue is still the handset business. Mobile phone revenue in 2017 exceeded 80 billion yuan, up 90% faster than 480 billion yuan in 2016; followed by IoT and consumer products, revenue in 2017 exceeded 23 billion, more than 120 billion in 2016 The growth has nearly doubled.

Highlight two: The closure chain of millet ecosystems

From the beginning of the venture, Lei Jun once said: “The profit model of Xiaomi’s mobile phone lies in its future software application, not relying on selling mobile phones to make money.” Based on this, Xiaomi can be seen in the prospectus. Set its businessThere are three locations, hardware, new retail, and Internet services, which form a closed millet ecosystem.

Hardware, and Millet is the fourth largest smartphone manufacturer in the world Businesses, and created a number of smart hardware products, of which multiple categories sold first. Xiaomi also built the world's largest consumer IoT platform, connecting more than 100 million smart devices (excluding mobile phones and laptops). Based on the number of connections in 2017, Xiaomi's consumer-grade IoT hardware global market share was 1.7%, followed by Apple 0.9%, Amazon 0.9%, Samsung 0.7% and Google 0.6%.

New Retail Aspects, according to iResearch, Xiaomi’s online direct sales platform, Xiaomi Mall’s turnover in 2017 has become China’s third-largest 3C and home appliance online retail direct sales platform; At the same time, Xiaomi also became the third largest online retail direct sales platform in India. From the offline perspective, the average operating income of self-operated millet stores ranks second among global retail chain stores.

Internet Service Aspect, Xiaomi has a large and highly active global audience. As of March 2018, the average time for users to use Xiaomi mobile phones every day was about 4.5 hours. MIUI had more than 190 million monthly active users. The indicators such as user scale, liveliness, and use duration all reached the level of world-class Internet companies.

Internet services have become an important source of Xiaomi's profitability. The business is divided into advertising services, with revenue of RMB 5.614 billion in 2017, and Internet value-added services. The revenue for 2017 is 42.82. 100 million yuan.

Highlights three: How much is Leijun holding?

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Prospectus shows that Xiaomi is proposing a different voting power structure. According to this structure, the company's capital stock will be divided into A shares and B shares. For any resolution to be submitted to the general meeting of shareholders of the company, holders of Class A Shares may cast 10 votes per share and Class B Shareholders may cast 1 vote per share. Only a handful of resolutions related to the Reserved Items vote. Except, in this case, each share has 1 vote.

Currently, Xiaomi's board of directors has 7 directors, including two executive directors, two non-executive directors and three independent non-executive directors.

Lee Jun is an executive director, chairman of the board of directors and chief executive officer of the company. Its shareholding ratio is 31.4%. The option pool of the total equity ESOP employee stock ownership plan, his shareholding ratio is 28%. Through the dual-equity structure, Lei Jun’s voting rights ratio exceeds 50%, which is the controlling shareholder of Xiaomi Group.

Future Aspect: Things Networking and millet eco-chain companies

Where does Xiaomi's future look? Mainly is the Internet of things (IoT) and Xiaomi ecological chain companies.

Xiaomi IoT has become the world's largest intelligent hardware IoT platform. As of the end of 2017, Xiaomi IoT platform has more than 85 million connected devices, more than 10 million live devices, more than 800 access devices, and more than 400 partners.

With data and AI bonuses approaching, and relying on a wide range of product layouts in the ecosystem, Mille will be a very likely leader in the Internet of Things and smart age >. In addition, Xiaomi invests in more than 100 ecological chain companies, accompanied by related companies to grow and even go public.The meter investment business will bring more synergies to the company's business and become one of the most imaginative sections in the future.

What are the speculative opportunities that can be captured now?

Our research institute has strategically focused on the growth of Xiaomi's own company. Pay attention to its growth space in the areas of mobile phones, ecological chain hardware, and Internet of Things. In addition, MIUI-based software, Internet, and financial services are expected to contribute more revenue.

In the medium to long term, Xiaomi is expected to advance to a truly international leading technology company. In addition, along with Xiaomi’s official landing in Hong Kong stocks, the investment value of related companies is well worth studying. And our research institute also carefully selected out of the three millet stocks that can currently be involved.

Because of compliance reasons, we can't give you direct stocks, but the next table will give a detailed description of the three stocks. You want to know that the friends of stocks can scan the QR code at the bottom. Contact our chief investment adviser for advice.

This article was issued as a special release and does not represent the view or position of the phoenix stocks. The stock market has Risk, investment needs to be cautious.