LG Electronics Share Price: Investors take note—Stock poised for up to 80% gain from IPO, check target price

LG Electronics Share Price: India’s IPO market witnessed a historic day on Tuesday as LG Electronics India made a blockbuster debut. The stock opened at Rs 1,710 on the NSE, sharply above its issue price of Rs 1,140, up 50.4 per cent. Early trading saw it touch Rs 1,749, and it eventually closed at Rs 1,689.40, up 48 per cent, making it the most successful billion-rupee IPO in India since 2021.

LG: Three decade in the Indian consumer electronics market

With over three decades in the Indian consumer electronics market, LG has been in the consumer electronics market for more than three decades now. The company leads in key categories including OLED TVs (63 per cent market share), front-load washing machines (37 per cent), and side-by-side refrigerators (43 per cent). Analysts say the company’s premium positioning and strong brand recognition give it an edge over peers. Motilal Oswal noted, “LG India is not just selling products; it is shaping lifestyles.”

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LG share price target and brokerage views

Brokerages are bullish on the stock. Motilal Oswal has recommended a buy rating with a target of Rs 1,800, citing strong return ratios, high operating cash flow, and focus on localization. Emkay Global also recommends buying, seeing Rs 2,050 as a target, which represents an 80 per cent upside from the issue price.

Nomura highlights LG’s leadership in premium products and high-margin segments, assigning a buy rating with a Rs 1,800 target.

ICICI Direct also asserts on the fact that the company is a strong brand, has backward integration with high return on equity (over 90 per cent), setting a target of Rs 1,700.

How does the future look like for LG

India’s domestic consumer electronics market (excluding mobile phones) is projected to grow at a 14 per cent CAGR between CY24 and CY29, and LG is expected to capture a 40 per cent market share over the next five years. Its strategy of premiumization of mass products—combining advanced technology and design with affordability—is seen as a key growth driver.

LG’s Made in India policy is expected to support the company's margin expansion. In FY25, 54 per cent of raw materials were sourced domestically, with plans to increase to 63 per cent in the next four years. Brokers forecast EBITDA margins rising from 12.8 per cent in FY25 to 14.1 per cent by FY28, while EPS is expected to grow 14 per cent annually between FY26 and FY28.

Under LG Korea’s Global South Strategy, India is being developed as a key export hub and a major manufacturing plant is expected. Increasing exports to Brazil and Mexico is the target for the company currently contributing 6 per cent of global exports, with a target of 10–15 per cent.