Viomi Technology Executes $2.5 Million Buyback to Signal Market Confidence
Guangzhou, Friday, 2 January 2026.
With $17.5 million remaining in its authorization, the IoT developer has already reclaimed 1.02 million shares, underscoring a strategic push to stabilize valuation and reward shareholders.
Program Execution and Financial Allocation
In a disclosure released on January 2, 2026, Viomi Technology Co., Ltd confirmed that it has repurchased approximately 1.02 million American depositary shares (ADSs) as of December 31, 2025 [1]. This buyback activity, conducted in the open market, utilized US$2.5 million of the company’s existing cash reserves [1]. The repurchases are part of a broader authorization approved by the company’s board of directors on October 24, 2025, which permits a total expenditure of up to US$20 million for share buybacks [1]. Following this initial tranche of activity, Viomi retains approximately US$17.5 million in authorized funds to continue the program through its expiration date of December 31, 2027 [1].
Strategic Confidence and Corporate Outlook
The decision to aggressively repurchase shares underscores management’s assessment of the company’s intrinsic value relative to its market price. Mr. Xiaoping Chen, the founder and CEO of Viomi, stated that the progress of the repurchase program highlights the firm’s confidence in its long-term growth prospects and fundamental business health [1]. He emphasized that the company’s robust cash position allows it to pursue this shareholder return strategy while maintaining its focus on the ‘Global Water’ strategy, which aims to deliver sustainable value [1]. Viomi, which operates a ‘Water Purifier Gigafactory’ in Guangzhou, is leveraging its position in the IoT home product sector to drive these initiatives [1][2].
Market Valuation and Investor Sentiment
The buyback update arrives as Viomi navigates a complex valuation landscape. As of January 1, 2026, the company’s stock was trading at $1.84 per share [3]. Market data indicates a significant shift in investor sentiment, with short interest in Viomi Technology decreasing by 55.13% recently [3]. While the company currently holds a P/E ratio of -4.97, analysts projecting future performance anticipate an improvement in earnings per share from ($0.11) to ($0.04) in the coming year [3]. This financial maneuvering suggests a concerted effort by Viomi to stabilize its market capitalization, which originated from its IPO in September 2018 when it raised $114 million [3].