The Zhitong Finance App learned that Xiaomo released a research report stating that it gave Lenovo Group (00992) an “increase in weight” rating and raised the profit forecast for the 2025 and 2026 fiscal years by 3% and 8% to reflect the strong prospects for PCs and servers. The target price was raised from HK$10 to HK$13. The bank believes that as Lenovo's profits beat expectations, and with IT spending increasing and the market paying more attention to AI PCs, it is expected that Lenovo's price-earnings ratio for the next six months will have an opportunity to reassess.

According to the report, the Group's profit for the fourth quarter of the 2024 fiscal year ending the end of March exceeded expectations by about 40%, mainly due to the steady profit of the Smart Device Business Group (IDG). Infrastructure Solutions Business Group (ISG) revenue increased 15% year over year, mainly driven by the recovery of Chinese cloud service providers (CSPs) and an increase in storage business share. Thanks to increased market share in Europe and Asia Pacific, mobile business revenue increased 14% year over year; the share of high-end solutions in Solution Services Business Group (SSG) increased to 55%. The company's management remains optimistic about the future of AI PCs and AI servers, and will launch more models in the second half of the year. Meanwhile, the Group's revenue for the first quarter of fiscal year 2025 increased slightly from quarter to quarter, indicating that corporate spending is gradually recovering.