Having made a name for itself with its budget-friendly smartphones recently launched, Xiaomi increased its market value to $ 100 billion. The founder of the company, Lei Jun , aimed to achieve this goal in 2018.
The company achieved this goal, albeit with a two-year delay, and almost doubled its market value in two years.
Xiaomi, which earns a significant part of its revenue from smartphones, announced its goal of $ 100 billion in 2018. However, at that time the market value of the company was around 55 billion. Today, the firm’s shares rose 9.1 percent on the Hong Kong stock market , breaking a record. Thus, it rose to the thirteenth company ranking in the Hang Seng index and the market value of the company increased to over $ 100 billion.
The rise in the company’s share value started after the news that it would be included in the Hang Seng index in August . The company’s value has almost doubled since August . Shopping festivals in China also supported this increase. Firms in Hang Seng gained between 5 percent and 8 percent during these festivals.
In addition, Xiaomi announced its fastest quarterly growth in November compared to the last two years . Thus, the company achieved its goal in 2018, albeit late.
How much do you think budget-friendly smartphones have had an impact on the increase in market value?