LG Electronics Share Price In Focus: Will Stock Extend Rally After Blockbuster Debut?
LG Electronics India became the most heavily subscribed major Indian IPO since Reliance Power’s listing in 2008.
The shares of LG Electronics India Ltd. will be in focus on Wednesday's trade as strong investor demand around the stock continues, especially after a successful listing on Tuesday.
The Indian arm of the home appliance and consumer electronics company debuted on the stock market with a premium of 50% on both NSE and BSE.
The stock listed at Rs 1,710 on the NSE against the issue price of Rs 1,140, reaching an intraday high of Rs 1,749. LG Electronics India closed Tuesday's trading session at Rs 1,689, marginally lower than the listing price.
Nevertheless, the attractive premium meant that the market capitalisation of LG Electronics' India arm surpassed the value of its parent company, Reuters reported.
LG Electronics India also became the most heavily subscribed major Indian IPO since Reliance Power’s listing in 2008.
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Will LG Electronics Shares Surge Today?
Given its successful listing, LG Electronics shares will be in focus once again as investors look to gauge momentum of the counter.
Emkay has recently put out a note on the company, reaffirming a 'buy' rating with a target price of Rs 2,050, citing its foray in the mass market segment and the launch of new products, which could increase its addressable market by 85-100%.
Speaking of new launches, LG Electronics India launched a series of products on Oct. 14, including a Double Door Refrigerator with frost-free technology, a fully automatic top load washing machine and a room air conditioner reducing energy consumption.
All of these could act as a tailwind for the stock heading into Wednesday's trading session.
