Nomura: Maintaining Lenovo Group's (00992) “Buy” rating and raising the target price to HK$13

The Zhitong Finance App learned that Nomura released a research report saying that the stock price of Lenovo Group (00992) may have room to rise in the future. In particular, the profitability of servers is expected to increase further in the future. In addition, the PC business performance is still better than market expectations. The company's third-quarter results may have exceeded market expectations. The bank raised its profit forecast for the 2025-26 fiscal year by 2 to 3%, so it raised its target price from HK$11 to HK$13 and maintained a “buy” rating.

Nomura expects Lenovo's second-fiscal quarter results to be better than market expectations, mainly due to Lenovo's computer shipments in China boosted by “Black Myths: Goku”; Dell (Dell) selectively abandons part of the consumer computer market share, which may make Lenovo and Asus the beneficiaries of market share; and due to strong general-purpose server orders and part of the sales revenue from artificial intelligence servers, sales in the server business are expected to grow further, but it is expected that Lenovo's server business will turn profitable in the future.