Lenovo Group returns to vomit overvalued investment bank sees light

Lenovo Group, which returned to the stock exchange but still has no progress, has been on the low road this morning, with shares now rising to HK $. Daiwa issued a report saying it maintained a big market rating for Lenovo, which is now valued at 29 times times the expected 2011-year earnings ratio, compared with an industry average of 10.5 times times.　　But it will be the main beneficiary of the plan to go to the countryside for home appliances because PCs are the second category of goods that meet the subsidy standard. But Dahua (UOB) said it was too early to turn bullish on Lenovo, although sentiment had improved. The bank remains wary of Lenovo, given its weak demand, rigid cost structure and limited consumer-oriented business.　　Lenovo, the world's highest-valued PC provider, is thought to be the most expensive in the market, and its recent win over the city is largely due to the potential benefits of the country's computer subsidy to the countryside and the city's computer-replacement program, but believes that television makers can benefit more from the subject. UOB thus maintained Lenovo's sales rating, but adjusted the reasonable price from HK $1.83 to HK $2.03, based on a 1.9 times-fold value for fiscal year 2010, mainly because of the expected rise in gross profit margin, which would adjust its net loss for the fiscal year 2010 from the original HK $705 million to HK $335 million. But UOB also lowered its net profit forecast for fiscal year 2011 from its original 1.9 billion Hong Kong dollar to HK $1.329 billion, after it lowered the average sales price forecast because of the dilution effect of cheaper products.