LG Electronics: Navigating the fair value post-robotics hype; maintain Neutral after PT reset to W190k

研报英文原文证据摘录

LG Electronics: Navigating the fair value post-robotics hype; maintain Neutral after PT reset to W190k

J P M O R G A N Asia Pacific Equity Research

02 July 2026

LG Electronics Neutral

066570.KS, 066570 KS

Navigating the fair value post-robotics hype; maintain Price (02 Jul 26):W193,500

Neutral after PT reset to W190k ▲Price Target (Jun-27):W190,000 Prior (Dec-26):W145,000

LGE shares have been volatile in the past 2M (up 100% in May and down ~50%

from May-peak) mainly on robotics business growth expectations, in our view. Technology - Semiconductors

Fundamentally, after two years of earnings decline, we anticipate a sharp recovery Jay Kwon AC

in LGE’s core business thanks to the reciprocal tariff refund, AI DC HVAC (82-2) 758-5725

business progress, and narrowing MS losses. We, however, remain conservative on jay.h.kwon@jpmorgan.com

J.P. Morgan Securities (Far East) Limited, Seoul

its robotics business outlook due to the distant timeline (MP of actuator in the Branch

2H26E and launching humanoid in 28E) and pre-mature business synergies Sangsik Lee

between key operations. Following revisions to our assumptions, we raise FY26- (82-2) 758 5146

27E EPS by 8-13%, introduce FY28E EPS estimates (+11% y-y), and raise PT to sangsik.lee@jpmorgan.com

W190K using 17x core EPS. Our Neutral rating on the stock is unchanged as we J.P.BranchMorgan Securities (Far East) Limited, Seoul

take a conservative stance on the Robotics business opportunity. Separately,

Neelay Y Kamath

LGIT's share price has appreciated meaningfully and now accounts for 66% of (91-22) 6157 3764

LGE’s market cap, but historical trading patterns indicate a detachment between neelay.kamath@jpmchase.com

LGIT’s OP contribution vs. LGE share price. We highlight that our price target does J.P.