Nomura has begun coverage of LG Electronics India with a ‘buy’ recommendation and a target price of Rs 1,800 per share, following the stock’s impressive debut that saw nearly a 50% listing gain. The brokerage cited India’s strong demographics and a growing trend toward premium products as key drivers of medium-term growth. It projected the company’s post-tax ROE at 31% and ROIC at 56% by FY28, and expects the stock to trade around the midpoint of its 30–45x earnings valuation range.
On its first trading day, LG Electronics India shares listed at Rs 1,710.1 on the NSE—about 50% above the IPO price of Rs 1,140—and closed at Rs 1,682.8, marking a 48% rise. The Rs 11,607-crore IPO attracted strong investor interest with 54 times subscription, giving the firm a valuation of Rs 1.14 lakh crore, exceeding that of its South Korean parent. Other brokerages, including Motilal Oswal and Prabhudas Lilladher, also launched coverage with ‘buy’ calls and similar targets, highlighting LG’s dominant brand, wide distribution, and localisation-led expansion strategy.
