The stock market is once again buzzing with excitement as two major companies — LG and Tata Capital — prepare for their upcoming IPO listings. Both firms have strong brand names, loyal customers, and promising financial records. But the big question for investors is — which IPO will bring more profits and long-term returns?

Let’s take a closer look at the details, comparison, and expert opinions in simple terms.

What is an IPO and Why It Matters

An Initial Public Offering (IPO) is when a company sells its shares to the public for the first time. It helps the company raise funds for expansion and gives investors a chance to own a part of the company.
When an IPO performs well during its listing day, investors often make instant profits — this is called listing gain.

For example, if you buy shares at ₹400 during the IPO and it lists at ₹520, you earn ₹120 per share — a quick 30% gain.

About LG’s IPO

LG, known globally for its electronics and appliances, is launching its Indian IPO to strengthen its manufacturing base and R&D capabilities in India.
The company aims to use IPO funds for:

• Expanding production units in Tamil Nadu and Maharashtra.
• Increasing local manufacturing of smart appliances.
• Setting up new service and technology centers.

Key Highlights of LG IPO:

• Issue Size: Around ₹8,000 crores
• Price Band: ₹450–₹480 per share (expected)
• Lot Size: 30 shares per lot
• Listing Exchange: NSE & BSE
• Expected Listing Date: Early November 2025

Analysts say LG’s strong brand image and steady profit growth make it a safe bet for long-term investors.

About Tata Capital’s IPO

Tata Capital, a financial powerhouse under the Tata Group, plans its IPO to strengthen its capital base and meet the growing demand for retail loans, insurance, and digital lending.

Key Highlights of Tata Capital IPO:

• Issue Size: Approx ₹12,000 crores
• Price Band: ₹520–₹550 per share (expected)
• Lot Size: 25 shares per lot
• Listing Exchange: NSE & BSE
• Expected Listing Date: Mid-November 2025

This IPO has attracted massive attention because Tata Capital is part of the trusted Tata Group — known for ethical business and long-term value creation.

Financial Performance: LG vs Tata Capital

Both companies have shown consistent performance. LG is cash-rich and stable, while Tata Capital is growing rapidly in the digital finance sector.

Market Sentiment and Grey Market Premium (GMP)

The grey market premium (GMP) is an unofficial indicator that shows investor interest before listing.

• LG IPO GMP: Around ₹85–₹100
• Tata Capital IPO GMP: Around ₹110–₹130

This means both IPOs are expected to list at a premium — but Tata Capital currently shows slightly higher demand.

Expert Opinions

Financial experts believe both IPOs can give good listing gains. However, the strategy depends on your investment goal:

• Short-term investors: Tata Capital IPO may offer higher listing-day profit because of strong hype and limited shares.
• Long-term investors: LG IPO could be a steady performer with consistent growth and dividend potential.

“Tata Capital is a growth stock in the financial sector, while LG is a stability stock in manufacturing. Both serve different investor goals,” says Ankit Shah, market analyst at EquityGrow.

Risk Factors to Watch

Every IPO carries some risks. Before investing, investors should consider:

• Market volatility: If markets fall, listing gains can drop sharply.
• Overvaluation: High pricing may reduce short-term profits.
• Sector competition: Finance sector faces regulatory changes; electronics faces price wars.
• Global factors: Inflation, interest rates, and global demand can impact share performance.

Comparison Summary

Which IPO Should You Choose?

If your goal is quick profit on listing day, Tata Capital IPO might be the better pick — it has high demand, strong brand backing, and strong grey market activity.

If you prefer steady long-term growth, LG IPO could be ideal — as India’s manufacturing and consumer appliance sector continues to expand.

Investors can even split their investment — apply for both IPOs in smaller quantities to balance risk and return.

Investor Tips Before Applying

1. Always check financial statements and prospectus before investing.
2. Avoid investing with borrowed money.
3. Compare IPOs using P/E ratio, debt-to-equity, and growth outlook.
4. Use online IPO platforms or your broker’s app for safe application.
5. Don’t rush — apply only if you believe in the company’s fundamentals.