LG Electronics India Shares Recover 3 Percent Following Post-Earnings Selloff, Brokers Optimistic on Summer Demand Uptick
LG Electronics India Shares Recover From Previous Session's Losses
Shares of LG Electronics India rose over 3 percent on Monday, recovering part of the previous session's losses after the company reported record quarterly revenue for the fiscal fourth quarter. Brokerages remained constructive on the stock despite margin pressure.
The company's stock was trading at Rs 1,538.7 in afternoon trade, up 3.2 percent for the day. The stock had fallen 2.6 percent on Friday after the company's Q4 FY26 results announcement. Over the past one year, the stock has declined about 9 percent, compared with a 4.1 percent fall in the Nifty 50. The company commands a market capitalisation of nearly Rs 1.05 lakh crore.
In its Q4 FY26 results, the company reported its highest-ever quarterly revenue, with revenue from operations rising 8.1 percent year-on-year to Rs 8,054 crore from Rs 7,448 crore a year earlier. The earnings were supported by broad-based demand recovery and strong traction in premium product categories such as large-screen televisions, French-door refrigerators, fully automatic washing machines, and 5-star air conditioners.
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However, profitability came under pressure. Net profit declined 8.2 percent year-on-year to Rs 693 crore from Rs 755 crore in the corresponding quarter last year. EBITDA fell 9.8 percent to Rs 945 crore from Rs 1,048 crore. EBITDA margin contracted to 11.7 percent from 14.1 percent due to rupee depreciation and elevated commodity costs.
Despite the margin miss, brokerage firm Nomura maintained its 'buy' rating on LG Electronics India stock with a target price of Rs 1,763 per share. The brokerage expects earnings growth to be driven by premiumisation and price hikes, with summer-season demand and export growth supporting earnings momentum going forward.
The company said it remains focused on cost discipline, localisation initiatives, and operational efficiency to navigate the impact of currency movements and higher raw material costs.
| Stock Performance | LG Electronics India | Nifty 50 |
|---|---|---|
| One-year return | -9% | -4.1% |
| Market capitalisation | Rs 1.05 lakh crore | |
| Q4 FY26 revenue | Rs 8,054 crore | |
| Q4 FY26 net profit | Rs 693 crore | |
| Q4 FY26 EBITDA | Rs 945 crore |
Investor Takeaway
Investors should be optimistic about LG Electronics India's stock following the company's record quarterly revenue and broad-based demand recovery.
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