Brokerage firm CLSA has joined the list of analysts who are bullish on shares of LG Electronics India Ltd., which is known as the Indian IPO that received the highest bids in history.

31 out of the 33 analysts who cover LG Electronics India have a “buy” rating on the stock, while one each have a “hold” and “sell” rating.

On Wednesday, June 17, CLSA initiated coverage on LG Electronics India with a “buy” rating and a price target of ₹1,830, which indicates an upside potential of 16.6% from Tuesday’s closing levels.

CLSA said that LG Electronics is positioning itself as a key beneficiary of India’s durable consumption upcycle. It expects the company’s large appliances segment to deliver a Compounded Annual Growth Rate (CAGR) of double digits, driven by rising penetration and a shift towards premiumization.

In addition to this, a strong brand presence of LG, a broad product portfolio and deep distribution reach should sustain the company’s leadership across key categories, CLSA wrote in its note.

LG Electronics could also see a steady margin expansion led by operating leverage and increased backward integration, as per the CLSA note.

For the March quarter, LG Electronics saw its EBITDA margins narrow by over 230 basis points from last year to 11.7% from 14.07%, which was marginally below the implied margin guidance of 12.5% to 13.5% given by the company at the end of the third quarter.

Shares of LG Electronics India are trading little changed on Wednesday at ₹1,572.5. The stock is up 6% so far this year. The stock is down 10% from its post-listing high of ₹1,749.