Lenovo Selected as a Constituent Stock of the Hang Seng Index

Rhea-AI Summary

Lenovo Group (ADR: LNVGY) has been added to the Hang Seng Index effective March 7, 2022, recognizing its consistent performance and aligning it with leading blue-chip companies in Hong Kong. This inclusion expands Lenovo's potential shareholder base by attracting investment funds that prioritize index membership. Lenovo has also been a part of the Hang Seng Tech Index since July 2020 and is set to release its FY2021/22 Q3 earnings on February 23, 2022, highlighting record growth with profitability expected to double within three years.

Positive

• Inclusion in the Hang Seng Index acknowledges Lenovo's consistent performance.
• Potential to attract more institutional investors and funds due to index inclusion.
• Record revenue and profit reported in the second quarter.
• Profitability projected to double in three years.

Negative

• None.

HONG KONG--(BUSINESS WIRE)-- The Hang Seng Indexes Company Limited has announced that effective 7^th March 2022, Lenovo Group (HKSE: 992) (ADR: LNVGY) will be included as a constituent stock on the Hang Seng Index – Hong Kong’s benchmark stock gauge. This selection means Lenovo is included alongside other “blue chip” companies listed on the Hong Kong Stock Exchange such as HSBC, Tencent, and Meituan. Lenovo’s addition to the Index follows the review of the Hang Seng Family of Indexes for the quarter ending 31^st December 2021.

Inclusion in the index is a clear recognition by the market of the company’s consistent performance over recent years. As well as consistently stellar financial results, Lenovo has carved out a clear strategy for its transformation from a PC/devices company to a global technology powerhouse that includes solutions and services. This Index inclusion broadens the Group’s potential shareholder pool to include those investments funds and pension funds that look for index inclusion as one of their investment criteria.

Lenovo has been a member of the Hang Seng sub-index – Hang Seng Tech Index – since July 2020, where it was one of the original members when it launched.

Lenovo will file its FY2021/22 Q3 earnings on Wednesday 23^rd February. The Group delivered a record second quarter performance as announced 4^th November 2021, with historic highs for both revenue and profit, and with profitability on track to double in three years.

More information on Lenovo’s financial performance can be found here.

About Lenovo

Lenovo (HKSE: 992) (ADR: LNVGY) is a US$60 billion revenue Fortune Global 500 company serving customers in 180 markets around the world. Focused on a bold vision to deliver smarter technology for all, we are developing world-changing technologies that power (through devices and infrastructure) and empower (through solutions, services and software) millions of customers every day and together create a more inclusive, trustworthy and sustainable digital society for everyone, everywhere. To find out more visit https://www.lenovo.com and read about the latest news via our StoryHub.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220221005380/en/

Hong Kong – Angela Lee, angelalee@lenovo.com, +852 2516 4810

London – Charlotte West, cwest@lenovo.com, +44 7825 605720

Zeno Group - LenovoWWcorp@zenogroup.com

Source: Lenovo

FAQ

What does Lenovo's inclusion in the Hang Seng Index mean for LNVGY?

Lenovo's inclusion in the Hang Seng Index recognizes its strong performance and allows it to attract more institutional investors, enhancing its stock liquidity.

When will Lenovo report its Q3 earnings for FY2021/22?

Lenovo is set to file its FY2021/22 Q3 earnings on February 23, 2022.

How does Lenovo compare to other companies in the Hang Seng Index?

Lenovo joins other blue-chip companies like HSBC and Tencent, which supports its credibility and market perception.

What are the implications of Lenovo's stock performance after being added to the Hang Seng Index?

Being part of the Hang Seng Index could lead to increased stock demand, potentially boosting LNVGY's price and attractiveness to investors.