Avendus Spark Warns LG Electronics India of Market Share Erosion; Stock Falls

• Avendus Spark initiated coverage on LG Electronics India with a "reduce" rating and a price target of ₹1,536, the lowest on the street.
• The brokerage warns LG Electronics India faces market share erosion and challenges in premium categories due to new market entrants.
• Despite warnings, Avendus Spark noted LG's strengths include its extensive reach and robust in-house manufacturing capabilities.
• LG Electronics India's shares fell 0.9% to ₹1,546.6 on Tuesday, down 12% from its post-listing high of ₹1,749.
• While 2 out of 18 analysts now have a "sell" rating, the majority still recommend a "buy" for LG Electronics India stock.

Why It Matters: Avendus Spark's "reduce" rating on LG Electronics India signals potential market share loss and stock decline.