Stock Picks Today: LG Electronics, Oil And Gas, Auto Sector, Phoenix Mills, Eternal On Brokerages' Radar

LG Electronics, the Oil & Gas sector, the Auto sector, Phoenix Mills, and Eternal are drawing brokerage commentary today.

Analysts are providing insights on company-specific developments, sector trends, and the potential impact of government policies like the GST cuts. Here are the key analyst calls to watch out for today:

Motilal Oswal

• Initiates coverage with a target price of Rs 1,800.

• It holds a leadership position with high industry growth potential.

• Premiumisation and localisation are expected to drive profitability.

• Expects LG to trade at higher multiples given its strong return ratios.

• Consistently generated operating cash flows over Rs 154 billion.

Ambit

• Initiates coverage with a Buy rating and a target price of Rs 1,820.

• Export could be a key component with the new Sri City plant doubling capacity.

• Increased localisation and premiumisation are expected to drive margin expansion.

• GST cuts are expected to help growth revival.

Nomura

• Initiates Buy with a price target of Rs 1,800.

• Focus on mass premiumisation, exports, and business-to-business initiatives to drive growth with improving profitability.

• India's demographics provide structural growth visibility for large appliances. The firm estimates Ebitda margins will improve from 12.8% in FY25 to ~14.1% in FY28F.

• This improvement is led by a better mix, operating leverage, and localisation.

• Expects the company to trade at the mid-point of the trading band of 30-45x.

• Profits After Tax for IOC, BPCL, and HPCL are expected to jump sharply due to LPG subsidy reimbursement.

• Reliance Industries Ltd., is expected to see steady quarter-on-quarter growth across segments.

• Retail and Jio segments for RIL remain strong.

• ONGC and Oil India's profits are expected to rise on higher dividend income.

• Gas demand is up 3% QoQ.

• IGL is the only player expected to see margin improvement.

• The overall sector shows selective improvement amid the rupee fall and higher crude prices.

• The GST boost could not have come at a better time given sluggish demand in April–July.

• Channel checks suggest consumers want to trade up towards premium products.

• However, CAFE norms and ABS mandates may erode the GST cut benefit.

• Prefers premiumisation plays like M&M, TVS, and Hyundai.

• GST cuts are boosting LED panel demand.

• Room Air Conditioner (RAC) demand is still below expectations.

• Samsung is pushing premium products, while LG is focusing on entry-level products.

• Aggressive pricing is not sustainable due to competition

• Maintains an Underperform rating with a target price of Rs 200.

• Expects rising competition to dent consensus forecasts.

• Believes consensus overstates the turnaround and sustainability of profits.

• Sees a risk of reversal in market capitalisation.

• Notes limited margin of safety for shares.

• Maintains a Buy rating with a target price of Rs 1,875.

• Q2FY26 Business Update: Consumption growth was in line with expectations.

• Overall consumption growth of -13% year-on-year is largely in line with expectations.

• Consumption growth in PMC Bangalore and Pune was flat YoY; trends are to be monitored going forward.

• Believes the company is well positioned to benefit from continuing organic consumption growth of 7 to 9% in its mature malls and the addition of new malls.