New Delhi: Vodafone Idea has been losing subscribers to Reliance Jio and Bharti Airtel. With a required ARPU of Rs 200-270, the telco’s prospects are bleak. The company is grappling with a funds shortfall owing to its existing liabilities. This has also hampered its 5G launch while competitors are bracing for a 6G launch, said stock market expert Sharad Kohli. The telco’s stock plunged over 10 per cent on Friday after
Vodafone Idea has been losing subscribers to Reliance Jio and Bharti Airtel. With a required ARPU of Rs 200-270, the telco’s prospects are bleak. The company is grappling a funds shortfall owing to its existing liabilities. This has also hampered its 5G launch while competitors are bracing for a 6G launch.
after US brokerage Goldman Sachs slashed Vodafone Idea’s rating to Sell citing the company’s inability to stall market price erosion despite fundraising. There is an 80 per cent downside to Voda Idea’s stock, said Goldman Sachs as it revised the share price target to RS 2.5 apiece. German broker Deutsche Bank maintains a Rs 1.5 apiece target price on the telco Vodafone Idea.
Vodafone Idea market share
According to Goldman Sachs, Vodafone Idea is projected to lose an additional 300 basis points market share in the coming 3 to 4 years. Vodafone Idea is also saddled with a backlog of payments related to spectrum charges apart from adjusted gross revenue, the brokerage said.
Citi maintains BUY rating
In a contrariwise guidance, Citi has maintained a BUY rating on Vodafone Idea with a share price target of Rs 22 apiece. Citi cited the prospects of a favourable Supreme Court judgment in relation to Vodafone IDea’s curative petition related to Adjusted Gross Revenues. Vodafone Idea is a “high-risk, high returns stock”, according to US brokerage Citi. Vodafone Idea’s stock has a Sell recommendation from 13 out 22 analysts covering it. Five analysts have given a Hold rating on Voda IDea while the remaining gave a BUY rating.
Vodafone Idea stock price: The telco’s stock took a beating on Friday after US brokerage Goldman Sachs after mentioning an 80 per cent downgrade to the company’s share price. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
