Zhi Tong Cai Jing·2025-08-05 03:38Core Viewpoint - Citic Lyon has raised the target price for Lenovo Group (00992) by 9% from HKD 11 to HKD 12, maintaining an "outperform" rating [1] Financial Performance - Following an upgrade on July 5, the bank has again revised its earnings forecast for the second quarter of the fiscal year 2025/26 [1] - The strong performance in the quarter ending June 30 is attributed to higher-than-expected shipment volumes and profit margins in the personal computer business, along with stable revenue in the server business [1] Earnings Expectations - The bank anticipates that Lenovo will gain USD 120 million from the fair value of warrants [1] - The latest GAAP earnings forecast for the first fiscal quarter ending June 30 is projected at USD 480 million, which is 47% higher than market expectations [1] - The non-GAAP earnings forecast has been increased by 11% compared to previous estimates [1]