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066575:KRXLG Electronics Inc. Analysis

Data as of 2026-06-13 - not real-time

₩78,800.00

Latest Price

7/10Risk

Risk Level: Medium

Executive Summary

LG Electronics is trading at 78,800 KRW, which sits below the 20‑day SMA (86,935) but comfortably above the 50‑day (68,801) and 200‑day (52,673) averages, suggesting a bullish medium‑term trend despite short‑term softness. The price remains well above the identified support of 66,900 KRW and far from the 138,400 KRW resistance, while volume is on an increasing trajectory, adding conviction to the upward bias. However, the MACD histogram is negative (‑3,089) and the MACD line lags its signal, flagging a bearish momentum divergence, and the RSI sits at a neutral 48.4, indicating no immediate overbought pressure. On the fundamentals side, the company delivers modest 4.3% revenue growth with thin profit margins (1.08% net) but generates solid free cash flow (≈2.34 trillion KRW) and sustains a dividend yield of 1.78% with a payout ratio near 26%, implying dividend sustainability. A discounted cash flow model values the stock at roughly 177,000 KRW, more than double the current price, highlighting a significant undervaluation opportunity despite high volatility (153% 30‑day) and a beta above 1.4.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Bearish MACD divergence
  • High 30‑day volatility
  • Price above key support levels

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • DCF fair value far exceeds market price
  • Sustainable dividend yield
  • Increasing trading volume supporting bullish trend

Long Term

> 3 years
Positive
Model confidence: 9/10

Key Factors

  • Diversified product portfolio across consumer and automotive segments
  • Strong cash generation and manageable payout ratio
  • Long‑term undervaluation relative to intrinsic value

Key Metrics & Analysis

Financial Health

Revenue Growth4.30%
Profit Margin1.08%
ROE4.78%
ROA2.64%
Debt/Equity46.05
Op. Cash Flow₩4895.7B
Free Cash Flow₩2337.1B
Industry P/E36.8

Technical Analysis

TrendBullish
RSI48.4
Support₩66,900.00
Resistance₩138,400.00
MA 20₩86,935.00
MA 50₩68,801.00
MA 200₩52,673.00
MACDBearish
VolumeIncreasing
Fear & Greed Index89.86

Valuation

Fair Value₩177,434.58
GradeUndervalued
TypeValue
Dividend Yield1.78%

Risk Assessment

Beta1.45
Volatility153.20%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.