Xiaomi’s Product Avalanche Fails to Halt Slide to 52-Week Low

Xiaomi shares near 52-week low as new smartphone launches and EV growth fail to offset profit decline, regulatory risks, and core business weakness.

A cascade of new products — from a high-performance electric SUV and the upcoming 17T smartphone series to a potential privacy display feature in HyperOS 4 — has failed to lift Xiaomi’s stock from its lows. The shares are close to the 52-week trough of €3.08 touched on May 29, having lost nearly 47% over the past year. At €3.16 in Frankfurt, the market remains unconvinced.

The EV division offers a glimmer of promise. Xiaomi delivered 30,000 electric vehicles for the second straight month in May, confirming the upward trajectory. Cumulative deliveries from January to April totalled approximately 117,500 units, a 12% increase year-on-year. The company still sees a chance to hit its full-year target of 550,000 vehicles, which would represent roughly 34% growth over 2025. To support that ambition, Xiaomi expanded its Beijing plant and started production at a new site in Wuhan, pushing annual capacity above 600,000 units.

Yet the EV ramp-up is bleeding cash. The automotive unit posted an operating loss of 3.1 billion yuan in the first quarter. That contributed to a broader profit squeeze: group revenue fell 11% to 99.1 billion yuan, while adjusted net income tumbled 43%. The core smartphone business saw sales drop 12.5%, and the IoT segment lost nearly a quarter of its revenue.

Regulatory headwinds from Washington add to the pressure. On Monday, the US tightened export restrictions on high-performance chips, targeting Chinese companies that try to access AI chips through third countries. For Xiaomi, which is increasingly embedding AI into its products, that creates a structural risk that no product launch can easily fix.

On the consumer front, the company is trying to reignite its smartphone business. The 17T series, announced on June 8, features MediaTek chipsets and a Leica-engineered triple-camera system — main, 5x telephoto and ultrawide — that Leica confirmed on May 28. The two models, Xiaomi 17T and 17T Pro, come with Leica Summilux optics, positioning them as premium devices.

Alongside the hardware push, a rumour swirling around HyperOS 4 suggests Xiaomi may be working on a privacy display function. Tipster Yogesh Brar was the first to flag the idea, and Android Central speculates it could be part of the upcoming OS update that is due later this year. Samsung already showed a hardware-based solution at its Galaxy S26 event in February, where different pixel types control light output to restrict viewing angles. A software-only approach from Xiaomi would face technical limits compared to Samsung’s hardware implementation, but it would add a privacy feature without incurring significant extra component costs.

The impact on the stock will hinge on three unresolved questions. Will Xiaomi officially confirm the feature? Which devices will get the update? And can a software solution genuinely compete with Samsung’s dedicated hardware in daily use? Until HyperOS 4 offers concrete details, the privacy feature remains a speculative footnote.

Technically, the shares are in a precarious spot. The relative strength index stands at 76.8, signalling overbought conditions in the very near term — an odd label for a stock that has lost roughly 30% since the start of the year and is trading almost 30% below its 200-day moving average. That gap underscores just how far the stock has fallen and how much conviction is missing.

Xiaomi is betting that its product blitz will eventually translate into earnings momentum. For now, the EV story is still costing the company money, the smartphone core is shrinking, and a rumoured software twist is not enough to reassure investors. The next quarterly report will show whether the 17T line can ease the pressure — and whether the EV division is finally moving toward breakeven.