HSBC starts coverage of LG Electronics, Blue Star citing growth in India's appliances industry

LG Electronics India

20/03/2026 04:52

** India's appliances and electronics industry, valued at $75 billion-$80 billion, is likely to grow at a 12% average annual growth through 2029, says HSBC

** Adds, the domestic appliances industry is not just a penetration or valuation story, but a growth story

** Initiates coverage of LG Electronics India LGEL.NS, ascribing a "buy" rating and Blue Star BLUS.NS with a "hold" rating

** LGEL, BLUS gain as much as 1.5% and 1.1% on the day

** HSBC says LGEL has multiple positive triggers such as capacity expansion, leadership in premium category, wider range of price points, exports

** Brokerage implies a 17% upside for LGEL, says valuations looks undemanding

** BLUS gets a "hold" and a projection of 10% upside from HSBC due to high valuations

** LGEL and BLUS up 0.3% and 0.2% for 2026 so far, exchange data shows

(Reporting by Bharath Rajeswaran in Bengaluru)

((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))