New Delhi: Global brokerage firm Citi has maintained its ‘Buy’ rating on Vodafone Idea stock after the Chief Justice of India agreed to consider the debt-ridden telecom company’s plea pertaining to Adjusted Gross Revenue (AGR) dues.
Backing the telecom stock, Citi set the Vodafone Idea share price target at Rs 23. The stock closed on NSE at Rs 16.70 on July 16, 2024. Vodafone share price has jumped over 10 per cent in the last six months and over 100 per cent in the past one year.
Citi said if the Supreme Court rules in favour of Vodafone Idea, the potential for reduction of the dues would be around Rs 30,000 crore to Rs 35,000 crore.
Vodafone Idea AGR case
In its statement, the global brokerage firm stated that its management is pinning hope on the apex court to pronounce a favourable verdict in the AGR case and believes the government remains supportive.
The telecom company has urged the Supreme Court to expedite the hearing of its curative petition challenging a previous court ruling on its AGR dues. Notably, Chief Justice DY Chandrachud assured Vodafone Idea that the court will soon take a decision regarding the listing of the case. Senior advocate Harish Salve is representing the debt-ridden telecom company Vodafone Idea.
Meanwhile, Union Telecom Minister Jyotiraditya Scindia on July 16 met Reliance Jio Chairman Akash Ambani, Bharti Airtel founder and Chairman Sunil Bharti Mittal, and Vodafone Idea MD and CEO Akshaya Moondra to chart growth roadmap for the telecom industry.
Meanwhile, Vodafone informed that it has expanded L900 and L2100 technologies to almost 10,000 sites across 86 districts in Uttar Pradesh and Uttarakhand.
“In the coming months, we will continue to expand our network as well as bring relevant services and offerings to delight our customers,” he added.
Data released by TRAI showed that Reliance Jio and Bharti Airtel increased their wireless subscriber tally, while Vodafone Idea continued to witness a fall in its user base.
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Citi has exuded confidence in Vodafone Idea share price to increase and reach a target price of Rs 23. The Supreme Court has assured Vodafone to list the AGR case for hearing soon. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
