HK Stock Market Move | LENOVO GROUP (00992) rose nearly 6% as the AI business experiences rapid growth and abundant orders. Institutions estimate that the potential valuation still has room to double.

LENOVO GROUP (00992) rose nearly 6%, and as of the time of this report, it increased by 5.86% to HKD 32.14, with a transaction volume of HKD 2.15 billion. On the news front, the three major AI server manufacturers have recently released earnings reports that exceeded expectations, conveying positive signals that the demand for AI servers is still growing rapidly. Among them, Lenovo's performance in the first fiscal quarter showed a significant growth in its AI business and a strong order backlog. The company's reserved orders for AI servers increased dramatically from RMB 140 billion in the previous fiscal quarter to RMB 360 billion. Revenue from AI-related businesses grew by 60% year-on-year, reaching RMB 63.4 billion, setting a historical record. In addition, Caitong's latest estimates indicate that even when fully accounting for potential dilution of equity from convertible bonds and stock option exercises, Lenovo's target prices for FY2026/27 and FY2027/28 are still projected to reach HKD 58.6 and HKD 72.2, respectively, reflecting potential upside of over 90% and over 140% compared to the current stock price.