LG Electronics India tops South Korean parent in mcap after bumper debut; check targets

Shares of LG Electronics India made a solid stock market debut on Tuesday, delivering a listing pop of more than 50 per cent, but saw some profit booking to turn range-bound. However, the stock has remained near its issue price of Rs 1,700. At this valuation LG Electronics India is commanding a total market capitalization of Rs 1.15 lakh crore.

Interestingly, the Indian arm of LG Electronics is valued more than its South Korean parent. According to the data, Busan-listed LG Electronics Inc is commanding a total market capitalization of 14.40 trillion won (Rs 90,000 crore. Marketcap of LG's Indian arm has been above its parent. LG Electronics Inc has delivered a 20 per cent return in the last 6 months but remained flat in 2025 so far.

On its debut, LG Electronics unveiled the LG Essential Series, a new line of home appliances created from the ground level with Indian insights. The Essential Series reflects its renewed commitment to India – making innovation more accessible to millions of households while meeting their growing aspirations, said LG. Pricing is starting at Rs.18,000 for entry-level models, it added.

Brokerage firms continue to remain positive on LG Electronics India even after listing. Despite breaching some targets on its debut, select analysts continue to remain positive on the stock, suggesting up to another 21 per cent upside in the stock from its current levels.

LG Electronics India is a top 3 player across key categories on both margins and revenue share. Growth tailwinds led by under penetration (10-40%) continue to play out, with premiumization opportunities across categories. Apart from the domestic market, exports could be a key optionality as Sri City plant would double capacity, boosting share of exports, said Ambit with a 'buy' rating.

"Increased localization & premiumization will aid margin expansion. Current valuation of 30 times FY27E P/E is in line with FMEG and 38 times discount to FMCG pack with superior growth possibilities given lower category penetration, and higher RoCE; will narrow as execution continues. We build in 11%/13% revenue/EBITDA CAGR over FY25-28," it said with a target price of Rs 1,820.

Ambit has picked LG Electronics India above Blue Star, Whirlpool of India, Voltas in large appliance categories. It has flagged hike in royalty to the parent and rise in competitive intensity as the key risks for the company.

LG launched its ‘Essential Series’ of products, marking its foray into the mass-premium segment, even as it focuses on accelerating its growth trajectory in India. Such newly introduced products are set to expand LG’s addressable market. The new range will be available from Nov-25 onward, with a major focus on high-margin traditional and regional retail trade channels, said Emkay Global.

These products are developed leveraging local insights and are value-engineered to offer affordability for consumers without compromising on LG’s trademark quality and customer experience, and yet maintain strength in profitability. The launch reinforces our view that LG’s growth trajectory is accelerating as it expands into the mass-premium segment, it said with a 'buy' and a target price of Rs 2,050.

Among other brokerage firms, ICICI Securities had initiated coverage on the stock with a target price of Rs 1,700. Among others, Motilal Oswal Financial Services and PL Capital also kicked-off their coverage on LG Electronics India on its maiden trading session with 'buy' ratings and target price of Rs 1,800 and Rs 1,780, respectively.