READ THE FULL VIOT RESEARCH REPORT
Viomi (NASDAQ:VIOT) filed its delayed Form 20-F with the SEC on September 30th, 2025, and the financial statements that had been pre-released in March of 2025 remained unchanged in the audited filings.
We are encouraged that there were no material adjustments to any of the previous audits or the pre-released financials from March. We still believe investors should apply a slightly higher risk premium to Viomi’s shares for the next 12 months, until the company’s financial reporting returns to a normalized schedule.
Despite continued trade tensions between the US and China and uncertainty surrounding what future tariffs may be imposed, the company announced a new filtration system last week, specifically targeting the US consumer. The new Viomi Master M1 features reverse osmosis technology, nine stages of filtration, and adds minerals back to the water, providing in-home mineral water similar to the company’s Kunlun series in China.
In late September, the company also announced two new brand awareness campaigns in China with influencers. No terms of the relationship were released, but we anticipate that these campaigns will be a net positive heading into the shopping holidays in November and December.
After significantly outperforming the broader market in July, the company’s shares have settled into a narrow trading range over the last month. The filing of the 20-F should alleviate one concern for investors, allowing for clear comparisons of the water purification business going forward. A return to regular financial reporting should also improve visibility into the business over the next 6-12 months.
Our 12-month target valuation remains $4.00 per ADS; however, we believe there is room to adjust this target when the first half income statement is released in late October. We encourage investors to read our full report for further information on the company’s new products and a full review of the 2024 full-year results.
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