Citi: Lenovo Group's infrastructure services business is expected to achieve strong growth.

Citigroup analysts said in a research report that Lenovo Group's infrastructure services business may achieve strong growth in the next three years. Citigroup raised its profit forecast for Lenovo Group in 2027-2029 by 6%, 29%, and 40%, respectively, as revenue from infrastructure solutions business, including servers, increased and profitability improved. They stated that this business segment is supported by strong server demand from China and overseas, increased AI server deliveries, and pricing improvements due to tight supply of CPU and storage chips. Citigroup analysts expect revenue from this business segment to grow by 47%, 44%, and 23% in 2027-2029. Citigroup maintains a buy rating on Lenovo Group and raises its target price from HK$20.00 to HK$31.00.