More Stories

Informist, Friday, Jul. 4, 2025

MUMBAI – Telecom stocks are expected to continue to consolidate next week due to lack of industry-specific triggers. Analysts see shares of Bharti Airtel moving between INR 1,960 and INR 2,070 and those of Vodafone between INR 8.40 and INR 6.40. Analysts said the broad-based sentiment in the market will also determine the direction of these stocks. Market analysts had said there could be some level of profit-booking happening ahead of the March quarter earnings, and it will not be just restricted to large-cap stocks.

Nuvama Institutional Equities expect telecom companies to report moderate average revenue per user growth. The brokerage on Friday said the subscriber addition would remain positive for Bharti Airtel and Reliance Jio while Vodafone Idea shall continue to lose subscribers. Route Mobile is likely to report a decrease in revenue with margin under pressure due to burden from related-party transactions, the broking firm. Sterlite Technologies will continue to face growth headwinds, with contraction in margins, the brokerage said.

Reliance Jio continued to outperform in terms of adding active subscribers, which bodes well for the overall tariff outlook of the telecom sector, media reports said citing brokerage Jeffries. The report also said that over the past 12 months, RJio's active subscriber market share has increased by 150 basis points to 53%, largely driven by share gain in B-Circles. This supports the potential for future tariff hikes, the report said. In telecom parlance, B circle consists of Kerala, Punjab, Haryana, Uttar Pradesh, Rajasthan, Madhya Pradesh, West Bengal, and Andaman and Nicobars.

Interestingly, on Wednesday, Chandra Sekhar Pemmasani, minister of state for communications, said India's telecom duopoly was not a result of policy, but due to market realities driven by capital intensity. "The duopoly has not been created intentionally by anybody," CNBC-TV18 reported quoting Pemmasani as saying. "Telecom requires massive capex," Pemmasani said adding that Reliance Jio and Bharti Airtel were able to deploy capital effectively, which enabled them to expand deeply across the country. "Because of them, we were able to achieve the fastest 5G rollout in the world," he said.

Further, Telecom sector will likely see fund inflows to the tune of around $15 billion to $20 billion, CNBC-TV18 had reported quoting Jeffries as saying. A large initial public offering like that of Reliance Jio, as well as promoter exits could lead the inflow, the brokerage said.  

TOP HEADLINES

* ITI wins orders worth INR 880 mln in Odisha, Chhattisgarh
* Railtel Corp gets INR-158.5-mln order from Cuttack Development Authority
* Vodafone Idea announces plans to launch 5G services in 23 more cities
* ITI signs INR 19 billion pact with BSNL for phase-3 of BharatNet project
* Tata Communications arm in pact to settle INR 11-bln tax issue in Canada
* Tanla Platforms appoints Anubhav Batra as CFO effective Jul 28
* Data Alert: Telecom cos net add 2.10 mln mobile users in May, up 8% on month

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:

End

Reported by Gopika Balasubramanium

Edited by Akul Nishant Akhoury

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.