Xiaomi shares jump 9% as strong EV orders boost sentiment

Xiaomi shares jumped the most in nearly three months after the Chinese electric vehicle maker reported strong order numbers for its SkyNomad model.

Its shares jumped as much as 9.2% in Hong Kong after the company said the model accumulated more than 70,000 orders within the first month of launch.

Xiaomi’s shares have been struggling this year as the company coped with rising raw material costs and intense competition at home, with doubts growing over its ability to reach its annual EV delivery target.

While the headline figure “may fall short of the market’s most bullish expectations, we view the disclosure as broadly supportive of Xiaomi’s EV growth story,” Goldman Sachs Group analysts including Timothy Zhao wrote in a note. “Besides SkyNomad, we expect new facelifts/models to support the delivery growth in China.”

EV peers advanced, with BYD and Li Auto both rising more than 4% in Hong Kong.