LNVGY (Lenovo Group) EBIT: $3,354 Mil (TTM As of Mar. 2026)


LNVGY Lenovo Group Ltd LNVGY
74 GF Score
Price $60.42
GF Value $30.55
Valuation Significantly Overvalued
! 8 Warning Signs
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What is Lenovo Group EBIT?

Lenovo Group LNVGY -0.13% 74 EBIT is $3,354 Mil as of Mar. 2026. GuruFocus rates LNVGY with a GF Score™ of 74/100 and a GF Value™ of $30.55 (Significantly Overvalued). The stock has 8 warning signs investors should review.

Lenovo Group's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was $907 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was $3,354 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Lenovo Group's annualized ROC % for the quarter that ended in Mar. 2026 was 10.89%. Lenovo Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 111.13%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Lenovo Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 8.63%.


Lenovo Group  (OTCPK:LNVGY) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Lenovo Group's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=3542.22 * ( 1 - 19.21% )/( (25211.827 + 27366.714)/ 2 )
=2861.759538/26289.2705
=10.89 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=52632.383 - 28873.132 - ( 5335.678 - max(0, 36890.42 - 35437.844+5335.678))
=25211.827

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=57129.094 - 31917.66 - ( 4903.56 - max(0, 41357.576 - 39202.296+4903.56))
=27366.714

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Lenovo Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=3629.172/( ( (3320.232 + max(-11434.515, 0)) + (3211.33 + max(-11875.155, 0)) )/ 2 )
=3629.172/( ( 3320.232 + 3211.33 )/ 2 )
=3629.172/3265.781
=111.13 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(13755.699 + 9076.551 + 2324.328) - (28873.132 + 0 + 7717.961)
=-11434.515

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(14134.149 + 11720.885 + 2638.927) - (31917.66 + 0 + 8451.456)
=-11875.155

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Lenovo Group's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=3353.674/38875.871
=8.63 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Lenovo Group EBIT Related Terms


Lenovo Group EBIT Historical Data

* Premium members only.

The historical data trend for Lenovo Group's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Lenovo Group EBIT Chart

Lenovo Group Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3,125.94 2,790.28 2,125.46 2,250.99 3,353.67

Lenovo Group Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 357.05 807.94 664.60 973.85 907.29

LNVGY vs DELL, SNDK, ANET: EBIT Comparison

For the Computer Hardware subindustry, Lenovo Group's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lenovo Group EV-to-EBIT vs Hardware Industry

For the Hardware industry and Technology sector, Lenovo Group's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Lenovo Group's EV-to-EBIT falls into.


LNVGY
74GF Score
Lenovo Group Ltd LNVGY
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Lenovo Group EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3,354 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of $3,354 Mil mean?
Lenovo Group (LNVGY) has a EBIT of $3,354 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Lenovo Group.
Is Lenovo Group's EBIT too high?
Lenovo Group's current EBIT is $3,354 Mil. Overall, Lenovo Group has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lenovo Group's EBIT compare to DELL and SNDK?
Lenovo Group's EBIT of $3,354 Mil can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Hardware company?
A good EBIT depends on the Hardware industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Lenovo Group. Lenovo Group's current EBIT is $3,354 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lenovo Group stock overvalued right now?
Based on GuruFocus' analysis, Lenovo Group (LNVGY) is currently considered Significantly Overvalued. The stock's GF Value™ is $30.55, compared to a current price of $60.42 — trading 97.8% above its estimated fair value. The current EBIT is $3,354 Mil. Lenovo Group's overall GF Score™ is 74/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Lenovo Group (LNVGY), the current EBIT is $3,354 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Lenovo Group (LNVGY) Overvalued in 2026?

Based on GuruFocus' analysis, Lenovo Group stock appears to be overvalued. The current stock price of $60.42 is trading 97.8% above its estimated GF Value™ of $30.55. GuruFocus considers Lenovo Group to be Significantly Overvalued.

Key valuation signals for LNVGY:

  • EBIT: $3,354 Mil
  • GF Value™: $30.55 vs. price of $60.42 (97.8% above fair value)
  • GF Score™: 74/100 with 8 warning signs

No single metric tells the full story. See the LNVGY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lenovo Group Business Description

Address 979 King\'s Road, 23rd Floor, Lincoln House, Taikoo Place, Quarry Bay, Hong Kong, HKG
Lenovo is a global technology hardware company with a leading market share in personal computers. The firm has been actively growing its data center business, which primarily sells network servers to enterprise and hyperscale customers, as well as storage equipment through its mainland China joint venture with NetApp. Server-related revenue contribution has jumped to 23% of overall sales in fiscal 2025, from 6% in 2015.
74GF Score

Get the complete analysis for LNVGY

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$60.42
Price
$30.55
GF Value