Xiaomi Slips 2.8% as Hong Kong Tech Wobbles, but Buybacks and EV Deliveries Tell Another Story

Xiaomi closed at EUR 2.76, down 2.8%, as Hong Kong tech slid on rising US yields and closed mainland markets; September EV deliveries topped 40,000.

Xiaomi shares ended Friday's session at EUR 2.76, down 2.8% on the day, as a broad retreat across Hong Kong equities dragged the Chinese technology group lower alongside its peers. The decline came against a backdrop of thinning risk appetite, with the Hang Seng Tech Index shedding 2.25% over the same session.

The pressure on the sector stemmed from a confluence of macro forces. Rising US Treasury yields and climbing oil prices soured sentiment across Asian trading floors, while the closure of mainland Chinese markets for a public holiday cut off the usual capital flows that reach Hong Kong through the Stock Connect channel. With institutional buyers from the mainland temporarily absent, the pullback touched virtually every corner of the special administrative region's tech space.

Adding to the cautious mood were lukewarm assessments of the effectiveness of stimulus measures announced from Beijing. As trading resumed after the holiday, investors showed a clear preference for trimming exposure to large-cap technology names.

Fundamental Support Beneath the Surface

Yet the selloff masks a more constructive operational picture. Xiaomi Auto delivered more than 40,000 vehicles in September — its strongest monthly showing of the year so far. Deliveries of the Sky Nomad line also got underway during the period, according to media reports. The figures build on a product offensive that saw Xiaomi unveil its Xiaomi 18 Pro smartphone series and additional hardware at an autumn launch event on September 23.

Analysts have pointed to the new model lineup as a potential catalyst for further expansion in the electric vehicle segment, even as elevated memory chip costs currently weigh on profitability. The expectation on the street is for margins to recover next year, supported by continued growth in the auto business.

Buyback Program and First-Half Results

Management has been putting company funds to work to steady the share price. According to the half-year report, Xiaomi repurchased a total of 388,187,200 Class B shares on the open market by the relevant record date, with the transactions amounting to roughly HKD 11,955,921,076.

That firepower was underpinned by the group's operating performance in the first six months of 2026, when Xiaomi posted consolidated revenue of RMB 208.1 billion and an adjusted net profit of RMB 12.3 billion. Even so, broader concerns over interest rates and the economic cycle have dominated market action of late.

Technical Picture and What Comes Next

The recent weakness has clouded the near-term outlook. At the current level, the stock trades 8.5% below its 50-day moving average. Whether supportive liquidity returns once mainland China's holiday break ends could prove decisive for market participants in the sessions ahead.