Bharti Airtel target price Rs 730: Emkay Global
Bharti Airtel is trading at Rs 708.10 at the time of writing this Tuesday morning. The stock had previously closed for Rs 709 and opened at Rs 711.70. Before trading in the red, the telco’s stock touched a high of Rs 713 on Tuesday. Emkay Global, a research and investment company, has put a hold call on Bharti Airtel’s stock. The investment firm has set the target price of Rs 730 for Airtel. The time period given by Emkay Global is one year, within which Airtel should reach the defined price point.
This is a positive outlook towards Bharti Airtel, which enjoys a uniquely positive position in the market. While the telco’s financials aren’t the best in the industry, its average revenue per user (ARPU) is the highest amongst all the telecom companies and is also growing rapidly. Bharti Airtel is set to benefit majorly with the acceptance of four year-moratorium of the spectrum and adjusted gross revenue (AGR) dues payments.
Bharti Airtel stock has positive outlook because of strong market position
Anyone who is closely monitoring the telecom sector understands the strong market position of Bharti Airtel. This is primarily because the competition is between Airtel and Jio only. Vodafone Idea (Vi) and Bharat Sanchar Nigam Limited (BSNL) are still in the process to standing up and getting inside the competition.
Bharti Airtel’s stock has already touched a 52-week high of Rs 739.10. Thus, there’s no doubt that Emkay Global’s call of Rs 730 for Airtel’s stock is not unrealistic. Further, if the Department of Telecommunications (DoT) can put the one-time spectrum charge (OTSC) case into the drain by giving the Supreme Court (SC) a fair reason, that would help the telco’s cash flow as well. The positive cash flow will enable the company in investing more in its networks aggressively. In the coming few months, Airtel’s stock should perform really strong with multiple new announcements related to 5G, satcom, and more. TelecomTalk
You must be logged in to post a comment Login