LG Electronics Shares Plunge 4% Post Lock-in Expiry; What's Next for Investors?

• LG Electronics India shares dropped over 4% on Jan 8 after a 3-month lock-in period ended, making 1.52 crore shares (2% equity) eligible for trading.
• The stock hit its lowest since listing at Rs 1,393.20, now 18% below its December 10 IPO listing price of Rs 1,710.10.
• Analysts like Nitant Darekar and Dr. Ravi Singh suggest long-term investment due to strong fundamentals and market share in washing machines (33.4%) and refrigerators (29.9%).
• Future growth drivers include a Rs 5,000 crore Sri City investment, localization to 70%, premiumization, AMC revenue, B2B expansion, and non-hardware revenue streams.
• Near-term volatility is expected due to lock-in expiry and Q2 FY26 net profit decline, but strong liquidity and brand momentum support the long-term outlook.

Why It Matters: LG Electronics faces short-term volatility post lock-in, but analysts see strong long-term investment potential.