UBLENOV@EC2602A

CGS International and Jim Hin Kwong Au Reiterate Buy Rating on Lenovo Group, UOB Kay Hian Maintains Hold Rating

BOA Securities upgrades Lenovo 2026 fiscal year earnings forecast but downgrades 2027-28 fiscal year forecasts

Morgan Stanley Releases Q3 CY2026 Performance Report for Lenovo Group

UOB Kay Hian Raises Lenovo's FY2026-2028 Adjusted Net Profit Forecast

JPMorgan Downgrades Lenovo's FY2027 Earnings Forecast

Yang Yuanqing Warns of Ongoing Memory Shortage for the Whole Year

Lenovo Announces Capital Expenditure Peak for Current Fiscal Year

Lenovo CFO: Future Spending to Align with Customer Demand

Lenovo CEO Comments on Healthy Future Memory Inventory Levels

Lenovo CEO expects infrastructure business to be profitable in Q4

Lenovo CEO Sees Opportunities in Memory Supply Shortage

Lenovo 转向人工智能推理市场

Lenovo Group's Q3 AI Revenue Grew by 72%

Lenovo Group reports Q3 revenue of $22.2 billion

Lenovo Group released FY2026 9 Months earnings on February 12 Pre-Market (BJT), actual revenue HKD 306.99 B, actual EPS HKD 0.4825

Rising Memory Prices Lead to Projected Decline in Q1 2026 Notebook Shipments

Morgan Stanley Sees Better-than-Expected Lenovo Group Earnings

JPMorgan Cuts Long Position in Lenovo Group

Lenovo Group to release FY2026 Q3 earnings on February 12 Pre-Market (BJT), forecast revenue HKD 160.97 B, EPS HKD 0.2595

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Exploding memory prices are prompting corporate buyers to accelerate PC purchases, with DRAM and NAND prices soaring 80-90% since late 2025. Lenovo reported a 14% revenue increase in its Intelligent Devices Group, with PC revenues up 18%. The memory supply shortage is expected to have a prolonged impact, leading to higher prices and potentially lower shipment volumes. Analysts predict a 10-15% decline in PC shipments if costs are fully passed to consumers, while average selling prices for PCs are expected to rise significantly due to the anticipated memory shortage.

- The rising prices of DRAM and NAND, up 80 to 90 percent since late 2025, are pushing corporate buyers to expedite PC purchases to avoid further increases.  
- Lenovo's revenue in its Intelligent Devices Group grew by 14 percent yearly, attributing part of this to heightened demand before anticipated price hikes, with expectations of prolonged high prices impacting the market significantly.  
- Analysts predict a possible 10 to 15 percent decline in PC shipments as consumers adjust to higher costs, while overall revenue may rise due to an uptick in premium device sales driven by AI investments.

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Memory price explosion triggers PC buying spree

Lenovo reported a 21% profit decline in its latest fiscal quarter, taking a $285 million restructuring charge due to a shift in the AI computing market. The company's gross margin fell as it struggled with rising memory prices. The restructuring reflects Lenovo's slow adaptation to the democratization of AI, moving from AI training in cloud facilities to on-premises AI inferencing. Despite a 31% revenue increase in its infrastructure unit, it reported an operating loss of $11 million. Lenovo's stock fell 4.6% following the report, highlighting investor concerns about its transition to an AI-focused business.

benzinga_article

Lenovo Caught Napping By 'Democratization Of AI'

Lenovo Group (SEHK:992) reported Q3 2026 revenue of US$22.2 billion and net income of US$545.5 million, with EPS at US$0.044. Despite a quarterly revenue increase, net margin fell to 1.9% from 2.3% a year earlier. Analysts predict earnings growth of 9.8% annually, but recent trends show a decline in earnings. The stock trades at HK$9.26 with a P/E of 9.9x, significantly lower than peers, raising concerns about profitability due to reliance on traditional devices and rising costs. Bulls see potential in AI-driven growth, while bears highlight margin pressures.

Simplywall

Lenovo Group (SEHK:992) Q3 Profit Jump Tests Bullish AI Margin Narrative

CGS International has reaffirmed its Buy rating on Lenovo Group (LNVGF) with a price target of HK$12.00. Additionally, DBS analyst Jim Hin Kwong Au also issued a Buy rating for Lenovo Group. Conversely, UOB Kay Hian has maintained a Hold rating on the company.

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CGS International Keeps Their Buy Rating on Lenovo Group (LNVGF)

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China's tablet shipments increased by 13.1% in 2025, reaching 33.8 million units, driven by a device replacement cycle and national subsidies, according to IDC. Despite this growth, the impact of subsidies is waning, particularly in the commercial sector, which saw a 1.6% decline in shipments. Huawei led the market with a 29.2% share, followed by Apple at 24.5% and Xiaomi at 13.1%. In Q4, Apple regained the top spot with 26.7%, while Lenovo showed growth with a 13.1% share.

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China’s Tablet Shipments Climb 13.1% in 2025 on Subsidy Boost, IDC Says

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KNOWLEDGE ATLAS(02513) rose 20.65%, with a trading turnover 2.4 Billion HKD, and a year-to-date rose 317.4%. MINIMAX-WP(00100) rose 15.65%, with a trading turnover 1.9 Billion HKD, and a year-to-date rose 312.1%. TME-SW(01698) fell 9.23%, with a trading turnover 247.1 Million HKD, and a year-to-date fell 14.5%. ZIJIN MINING(02899) fell 7.64%, with a trading turnover 4.1 Billion HKD, and a year-to-date rose 16.6%.

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Bank of America Securities has lowered the target price for Lenovo Group to 9.9 yuan and reiterated a "Neutral" rating. Although Lenovo's third fiscal quarter earnings exceeded expectations, sales met expectations, and operating profit was above expectations, the gross margin was slightly weaker. It is expected that profit margins will be affected by rising costs in the coming quarters. Based on the latest performance, the earnings forecast for fiscal year 2026 has been raised by 9%, but the earnings forecasts for 2027 to 2028 have been lowered by 10 to 13%

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"Big Banks" Bank of America Securities lowers Lenovo's target price to 9.9 yuan, reiterates "Neutral" rating

The UBS research report indicates that Lenovo Group's sales in the third quarter of fiscal year 2026 are expected to reach USD 22.2 billion, an 18% increase compared to the same period last year. The gross margin and operating profit margin are 15.1% and 4.3%, respectively, exceeding expectations. Although PC and smartphone shipments are expected to decline by 9% and 8%, respectively, sales are still expected to grow due to rising memory prices. UBS maintains a "Neutral" rating on Lenovo with a target price of HKD 9.5 unchanged

UBS expects Lenovo to still be affected by rising memory prices, maintaining a "Neutral" rating

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Lenovo's CEO, Yang Yuanqing, stated that rising component costs due to surging memory prices will test companies' supply chain capabilities, which are becoming crucial for economic advantage. Lenovo's scale, diversified supply system, and strong supplier relationships provide it with a competitive edge. The company has seen significant growth in AI-related revenue, which now constitutes 32% of its total income, with net profit rising 36% to CNY4.1 billion. Yang emphasized the importance of AI in driving future market demand for smart terminals and infrastructure.

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Rising Component Costs Due to Surging Memory Prices to Test Firms' Supply Chain Capabilities, Lenovo CEO Says

Morgan Stanley pointed out that Lenovo Group's adjusted net profit for the third quarter of fiscal year 2026 is expected to be USD 589 million, higher than expected. Management expects PC sales to decline in the low single digits year-on-year, while smartphone sales are expected to decline in the high single digits. Despite the company's measures to protect profit margins, it still faces rising cost pressures. Morgan Stanley maintains Lenovo's "in line with the market" rating, with a target price of HKD 9.8

Morgan Stanley: Lenovo's sales decline guidance is overly conservative, maintaining "In line with the market" rating

JP Morgan's report pointed out that Lenovo Group's performance in the third quarter of the fiscal year 2026 exceeded expectations, driven by strong profitability in the smart device business. However, the infrastructure solutions business still recorded losses and faced cost pressures. Although it is expected that cost savings can be achieved in the next three years, revenue growth for IDG in the fiscal year 2027 will slow down. Morgan Stanley lowered its earnings forecast for the fiscal year 2027 by 5%, maintaining the target price at 9.5 yuan and the "Neutral" rating unchanged

"Big Banks" JP Morgan: Lenovo Group's quarterly performance expectations are good, but cost pressures are rising. Rating "Neutral"

Citi released a research report stating that Lenovo Group's Q3 performance for the fiscal year 2026 exceeded market expectations, benefiting from strong personal computer business and a 7.3% operating profit margin. It is expected that the smart devices business will achieve positive growth, and the infrastructure solutions business will turn profitable in Q4 of the fiscal year 2026. Citi raised its net profit forecast for the non-Hong Kong Financial Reporting Standards from 2026 to 2028 and lowered the target price-to-earnings ratio from 11 times to 10 times, with a slight increase in the target price to HKD 10.4, maintaining an "outperform" rating

In "The Big Banks," Citigroup: Lenovo's quarterly results exceeded expectations, maintaining an "Outperform" rating

Lenovo Group, the largest PC maker, reported a 21% profit drop due to a global memory crunch, warning of its prolonged impact. Despite an 18% revenue increase to $22.2 billion, high memory costs affected profits, with net income at $546 million. Lenovo's shift to AI-powered devices, which saw a 72% revenue growth, is expected to drive future growth. The company's shares fell 4.5% following the earnings report. Lenovo maintains a 26% share of the global PC market, leveraging its scale to secure components amid supply challenges.

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China’s Lenovo warns of ‘prolonged’ memory crunch, looks to AI for rebound

Nvidia’s new N1 and N1X chips will soon be out in consumer laptops from Dell and Lenovo, media report, noting the Arm-based chips with integrated Nvidia RTX-series (Blackwell) GPUs are made for Windows-on-Arm laptops. The chips are co-developed with Taiwan’s MediaTek and built using TSMC’s 3nm process. $NVIDIA(NVDA.US) $Microsoft(MSFT.US) $Arm(ARM.US) $Dell Tech(DELL.US) $Lenovo Group(LNVGY.US) #mediatek #lenovoSource: Dan Nystedt

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PC giants Lenovo, Dell and HP all warned the AI boom is using up memory chips, leading to tight global supplies next year, media report, citing Lenovo’s CFO saying the cost surge is “unprecedented” and confirming Lenovo is stockpiling memory chips, while Dell’s COO said he’s never seen memory costs “escalate at this pace” and HP’s CEO said the 2nd half of next year will be “particularly challenging” and HP will raise PC prices if necessary. The three PC giants all held quarterly earnings conferences recently. $Lenovo Group(LNVGY.US) $Dell Tech(DELL.US) $HP(HPQ.US) $HXSCL $SSNLF $Micron Tech(MU.US) #SKhynix #Samsung #SemiconductorsSource: Dan Nystedt

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1017 | Dolphin Research Focus: 🐬 Macro/Industry 1. Shares of two U.S. regional banks plummeted due to loan fraud and bad debt issues, with the regional bank index posting its worst performance since April. Risk aversion sentiment pushed up U.S. Treasury and gold prices. The event highlights potential risks in the credit market, and concerns about 'more risk points' will suppress sentiment in financial stocks, while reinforcing expectations for the Federal Reserve to maintain an accommodative stance. 🐬 Individual Stocks 1. $Micron Tech(MU.US) Micron Technology's U.S. stock fell in after-hours trading. According to reports, Micron will stop selling server chips to Chinese data centers...

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Micron to Stop Selling Server Chips to Chinese Data Centers; Meta Plans to Raise $30 Billion to Build Data Centers | Today's Important News Recap

$XTALPI(02228.HK) The data is as boring as the order book. But the intraday rebounds for two consecutive days still make &#34;Lenovo&#34; start to flutter. Just wait and see.

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UBLENOV@EC2602A(19560.HK)

Memory price explosion triggers PC buying spree

Lenovo Caught Napping By 'Democratization Of AI'

Lenovo Group (SEHK:992) Q3 Profit Jump Tests Bullish AI Margin Narrative

CGS International Keeps Their Buy Rating on Lenovo Group (LNVGF)

China’s Tablet Shipments Climb 13.1% in 2025 on Subsidy Boost, IDC Says