Lenovo Group (OTCMKTS:LNVGY) Shares Gap Down - Here's Why

Key Points

• Lenovo Group shares gapped down significantly, opening at $28.00, after closing at $29.54, and last traded at $27.65, indicating a 6.8% drop.
• The company reported earnings per share of $0.44 for the last quarter, exceeding expectations of $0.40, with revenues of $16.98 billion compared to an anticipated $15.77 billion.
• Lenovo Group has announced an upcoming dividend payment of $0.7593 per share, significantly higher than the previous dividend of $0.20, representing a yield of 366.0%.

Lenovo Group Ltd. (OTCMKTS:LNVGY - Get Free Report) gapped down before the market opened on Thursday . The stock had previously closed at $29.54, but opened at $28.00. Lenovo Group shares last traded at $27.65, with a volume of 5,960 shares traded.

Lenovo Group Stock Down 6.8%

The company has a 50 day simple moving average of $25.22 and a two-hundred day simple moving average of $25.97. The company has a quick ratio of 0.67, a current ratio of 0.93 and a debt-to-equity ratio of 0.65. The company has a market capitalization of $17.08 billion, a P/E ratio of 12.81, a PEG ratio of 0.68 and a beta of 0.75.

Lenovo Group (OTCMKTS:LNVGY - Get Free Report) last issued its quarterly earnings data on Thursday, May 22nd. The technology company reported $0.44 earnings per share for the quarter, topping the consensus estimate of $0.40 by $0.04. The company had revenue of $16.98 billion for the quarter, compared to analysts' expectations of $15.77 billion. Lenovo Group had a return on equity of 25.20% and a net margin of 2.00%. As a group, equities analysts predict that Lenovo Group Ltd. will post 2.06 EPS for the current year.

Lenovo Group Increases Dividend

The firm also recently announced a dividend, which will be paid on Wednesday, August 20th. Stockholders of record on Friday, August 1st will be paid a dividend of $0.7593 per share. This is a positive change from Lenovo Group's previous dividend of $0.20. This represents a dividend yield of 366.0%. The ex-dividend date of this dividend is Thursday, July 31st. Lenovo Group's payout ratio is currently 70.23%.

Lenovo Group Company Profile

Lenovo Group Limited, an investment holding company, develops, manufactures, and markets technology products and services. It operates through Intelligent Devices Group, Infrastructure Solutions Group, and Solutions and Services Group segments. The company offers commercial and consumer personal computers, as well as servers and workstations; and a family of mobile Internet devices, including tablets and smartphones.

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