Low Resolution on LG Smart TV

When I play high resolution videos, the video quality is very low resolution.

I have an LG webOS: Software Version TV 05.25.35 running Plex app version 5.1.2
The plex app I have installed on my qnap nas is Version 4.76.1

The NAS is a QNAP T-453D Firmware version 5.0.0.2055.

The picture quality is only low when I play videos on my tv. If I play them on my computers (several tested), the image quality is very good so I do not think it is related to the NAS. I have checked all local quality settings and they are all set to Original.

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