Lyon: Lenovo Group (00992.HK) quarterly results exceed expectations, raising target price to 21 Hong Kong dollars ISG is a new growth driver.

The Wisdom Financial News app learned that Lyon released a research report stating that Lenovo Group (00992.HK) had a strong performance in the fourth quarter ending in March, mainly benefiting from the improvement in operating profit margin of the Infrastructure Solutions Group (ISG) and the stability of the personal computer business. The company aims to achieve total revenue of $100 billion within two years, striving for continuous expansion of profit margins. Lyon raised its target price for the company from 12.9 Hong Kong dollars to 21 Hong Kong dollars, reiterating an outperform rating. Lyon raised its forecasts for the Group's non-Hong Kong Financial Reporting Standards (non-HKFRS) net profit for the 2027 and 2028 fiscal years by 33% and 25%, mainly due to the raised ISG profit margin expectations.