CICC raises the target price of Lenovo, optimistic about its growth driven by AI and cross-device innovation.

CICC released a research report stating that they have communicated with the company's management team on its latest strategies and views on AI smart devices. CICC believes that Lenovo continues to deepen its "one platform, multiple terminals" strategic layout in AI, not only innovating on the hardware level by creating products such as scroll screens and transparent screens, but also strengthening its local large model capabilities and enhancing cross-device experiences on the software level. They are optimistic about the company's continuous innovation driving its market share growth in the global PC and smartphone markets. In addition, changes in global macroeconomic environment such as tariffs are also a major concern for investors in a multinational company like Lenovo. CICC believes that Lenovo's global production layout leads the market, bringing the company more outstanding and flexible risk response capabilities. Considering the company's innovative technology in both hardware and software and the potential for continued market share improvement in the AI sector, as well as the shift in valuation window, CICC has revised its target price to HK$14.80, a 10.4% increase from the previous target price, corresponding to a 34.6% upside potential.