Telecom Stocks Outlook
Seen consolidating; Bharti Airtel to be in focus
This story was originally published at 19:40 IST on 9 May 2025
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MUMBAI – Shares of telecommunication companies may continue to consolidate next week amid a lack of fresh triggers for the sector, analysts said. Despite being relatively unaffected by the ongoing skirmish between India and Pakistan, their shares could likely be caught in the crossfire should the market continue its negative movement.
Shares of telecom major Bharti Airtel will be in focus next as the company is due to report its March quarter earnings Tuesday. Bharti Airtel could move sideways till it announces results, Jatin Gedia, technical research analyst at Mirae Asset Sharekhan, said. He pegged the support for the stock at INR 1,760 and the resistance at INR 1,900-INR 1,950.
Bharti Airtel's top line in Jan-Mar is likely to be hit by low like-for-like India mobile revenue growth, according to analysts. For the March quarter, the company's consolidated net profit is seen at INR 58.13 billion, down nearly 61% sequentially. However, in the December quarter, the company had reported a one-time gain of INR 75.5 billion from the consolidation of Indus Towers' accounts. The company's revenue is expected to grow 8% on quarter to INR 468.52 billion.
Among its peers, Gedia advised investors to keep away from Vodafone Idea as the stock looks weak from a fundamental and technical perspective. He pegged the support for the stock at INR 6.50-INR 6.00 and the resistance at INR 7.00. Friday, shares of Bharti Airtel fell 1.4% to end at INR 1,848.40 on the National Stock Exchange, and shares of Vodafone Idea ended at INR 6.70, up 0.2%.
Telecom Regulatory Authority of India's data released Wednesday showed Indian telecom operators net added 2.93 million mobile users in March, compared to 2.77 million in February. The subscriber additions were led by Reliance Jio Infocomm and Bharti Airtel, while Vodafone Idea continued to lose users. Reliance Jio net added 2.2 million mobile users in March compared with 1.77 million added in February. Bharti Airtel net added 1.25 million users in March, down from 1.59 million added in February. Vodafone Idea lost 541,377 mobile users in March compared with losing 20,720 users in February.
Reliance Jio improved its market share by 8 basis points on month to 40.6% in March. Bharti Airtel's market share was largely steady at 33.7%, while that of Vodafone Idea declined 9 bps to 17.8%.
Meanwhile, telecom companies have implemented a host of measures such as enabling intra-circle roaming, setting up control centres for round-the-clock monitoring, and stocking up diesel for telecom towers to ensure uninterrupted connectivity in a bid to counter any threat to their infrastructure, The Times of India reported. These measures were after the Department of Telecommunications instructed both telecom players to be on vigil and prepare for disaster-level scenarios.
TOP HEADLINES
* Data Alert: Indian telecom operators net add 2.93 mln mobile users in March
* Earnings Outlook: Bharti Airtel may see low like-to-like revenue growth QoQ
* TDSAT adjourns case on Tata Tele's challenge to govt's one-time spectrum fee
* Bharti Airtel ends talks with Tata group for merger of direct-to-home ops
* ITI gets INR 500 mln in second tranche from C-DoT as part of land sale pact
* RailTel Corp gets work order of INR 227.5 mln from North Central Railway
Following are the resistance and support levels for the stocks for next week as per calculations by Informist based on their prices on the National Stock Exchange:
| Company | Price | Week-on-week change in % | Resistance | Support |
| Bharti Airtel | 1,848.40 | (-)0.20 | 1886.60 | 1817.40 |
| Mahanagar Telephone Nigam | 39.02 | (-)5.00 | 40.00 | 37.50 |
| Reliance Industries | 1377.20 | (-)3.20 | 1402.50 | 1361.90 |
| Tata Communications | 1515.80 | (-)2.80 | 1554.10 | 1451.70 |
| Tata Teleservices Maharashtra | 53.92 | (-)3.20 | 56.50 | 50.70 |
| Vodafone Idea | 6.70 | (-)5.00 | 6.90 | 6.40 |
| Nifty 50 | 24008.00 | (-)1.40 | 24264.50 | 23807.50 |
| S&P BSE Sensex | 79454.47 | (-)1.30 | 80549.80 | 78420.70 |
End
Reported by Akash Mandal
Edited by Saji George Titus
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