REAL-TIME GLOBAL RESEARCH
LG Trio: Next Growth Chapter: S. Korea Technology
Research evidence excerpt
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M
Asia Pacific Insight
August 11, 2026 01:28 PM GMT
S. Korea Technology
Morgan Stanley & Co. International plc, Seoul Branch+
Ryan Kim
Equity Analyst
LG Trio: Next Growth Chapter
Morgan Stanley & Co. International plc+
Shawn Kim
AI is broadening the LG investment opportunity beyond TVs,
smartphones, and displays. We prefer LGE and LGI as they offer
a compelling combination of improving earnings, valuation
upside, and long-term AI optionality. Our EW on LGD remains
primarily tied to OLED execution.
Key Takeaways
Equity Analyst
Morgan Stanley & Co. International plc, Seoul Branch+
Young Suk Shin
Equity Analyst
Morgan Stanley Asia Limited+
Duan Liu
Equity Analyst
We see the next phase of AI beneficiaries extending beyond semiconductors into
intelligent hardware, where LGE and LGI are well positioned.
Commercial HVAC, robotics, and AI components provide multiple earnings levers
Morgan Stanley & Co. International plc+
Cindy Huang
Equity Analyst
beyond traditional hardware cycles.
LGD's improving fundamentals are encouraging, but valuation upside remains
more execution-driven than structural.
Beyond traditional hardware cycles: The investment debate around LG Group has
historically centered on TVs, smartphones, and display cycles. While these
businesses remain important earnings drivers, we believe the investment framework
is gradually expanding. As AI moves beyond the data center into factories, vehicles,
buildings and homes, demand is increasingly shifting toward intelligent hardware
S. Korea Technology
Asia Pacific
Industry View
Attractive
What’s Changed
that enables AI deployment in the physical world. We believe LG Electronics and LG
LG Electronics (066570.KS)
Rating
From
To
Equal-weight Overweight
Innotek are well positioned to benefit given their growing exposure to robotics,
Price Target
W95,000
LG Innotek (011070.KS)
Rating
From
To
Equal-weight Overweight
Price Target
W265,000
W640,000
LG Display (034220.KS)
Price Target
From
W16,800
To
W10,000
commercial HVAC, AI data center cooling, automotive electronics, sensing and
advanced optical components.…
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