LG Electronics India: Jefferies maintains 'Buy' on franchise strength

• Jefferies reiterates 'Buy' rating on LG Electronics India with a ₹1,980 target, suggesting a 26% upside.
• Investors acknowledge LG's strong franchise, healthy growth outlook, and continued market leadership despite competition.
• LG Electronics India's high return on equity and capital employed are attributed to premiumisation, backward integration, and high capacity utilisation.
• The company delivered a stronger first half compared to competitors, showing resilient sales and higher operating profit margins.
• Jefferies forecasts a 17% compound annual growth rate in earnings from FY26-FY28, despite an expected FY26 EPS decline.

Why It Matters: This signals LG Electronics India's strong market position and investment potential.