LNVGY (Lenovo Group) ROCE %: 23.03% (As of Mar. 2026)


LNVGY Lenovo Group Ltd LNVGY
74 GF Score
Price $60.47
GF Value $29.98
Valuation Significantly Overvalued
! 8 Warning Signs
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What is Lenovo Group ROCE %?

Lenovo Group LNVGY -0.04% 74 ROCE % is 23.03% as of Mar. 2026. GuruFocus rates LNVGY with a GF Score™ of 74/100 and a GF Value™ of $29.98 (Significantly Overvalued). The stock has 8 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Lenovo Group's annualized ROCE % for the quarter that ended in Mar. 2026 was 23.03%.

Lenovo Group  (OTCPK:LNVGY) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Lenovo Group ROCE % Related Terms

Lenovo Group ROCE % Historical Data

* Premium members only.

The historical data trend for Lenovo Group's ROCE % 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 ROCE % Chart

Lenovo Group Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 27.95 22.71 16.66 16.72 22.35

Lenovo Group Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % 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 10.96 22.08 17.52 25.09 23.03
LNVGY
74GF Score
Lenovo Group Ltd LNVGY
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lenovo Group ROCE % Calculation

Lenovo Group's annualized ROCE % for the fiscal year that ended in Mar. 2026 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=3353.674/( ( (44230.812 - 29994.133) + (57129.094 - 41357.576) )/ 2 )
=3353.674/( (14236.679+15771.518)/ 2 )
=3353.674/15004.0985
=22.35 %

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

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=3629.172/( ( (52632.383 - 36890.42) + (57129.094 - 41357.576) )/ 2 )
=3629.172/( ( 15741.963 + 15771.518 )/ 2 )
=3629.172/15756.7405
=23.03 %

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

* 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 ROCE % →
What does a ROCE % of 23.03% mean?
Lenovo Group (LNVGY) has a ROCE % of 23.03% as of Mar. 2026.
Is Lenovo Group's ROCE % too high?
Lenovo Group's current ROCE % is 23.03%. The Hardware industry median ROCE % is 5.83. Lenovo Group's value of 23.03% is 295% above this industry median. 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 ROCE % compare to DELL and SNDK?
Lenovo Group's ROCE % of 23.03% can be compared against companies in the Hardware industry. The industry median ROCE % is 5.83. Lenovo Group's value of 23.03% is 295% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Hardware company?
The median ROCE % among Hardware companies is 5.83, based on 2,445 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lenovo Group's current ROCE % of 23.03% is 295% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Hardware industry, the median ROCE % is 5.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lenovo Group's current ROCE % is 23.03%. 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 $29.98, compared to a current price of $60.47 — trading 101.7% above its estimated fair value. The current ROCE % is 23.03% and 295% above the Hardware industry median of 5.83. 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 ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Lenovo Group (LNVGY), the current ROCE % is 23.03% 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 $60.47 is trading 101.7% above its estimated GF Value™ of $29.98. GuruFocus considers Lenovo Group to be Significantly Overvalued.

Key valuation signals for LNVGY:

  • ROCE %: 23.03%
  • GF Value™: $29.98 vs. price of $60.47 (101.7% above fair value)
  • GF Score™: 74/100 with 8 warning signs
  • Industry Position: 295% above the Hardware median

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

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

$60.47
Price
$29.98
GF Value