Bharti Airtel may rally to Rs 350, says PN Vijay

Bharti Airtel may rally to Rs 350, says PN Vijay, Portfolio Manager, www.askpnvijay.com.

Vijay told CNBC-TV18, “It is amazing how the failure of the 2G auction has done wonders to Bharti. So the way people are sensing is it, Bharti is always been a blue chip and it has underperformed so much in the last one year if you see, it has just fallen off and even the technical analyst would point out around Rs 250 to Rs 260 it has a very strong bottom so now people are saying that there is consolidation. It has already started. The government by cancelling the licences triggered a consolidation so we are going to be left with only 4-5 serious players which is good for India.”
He further added, “Among the listed stocks Reliance Communication because of various corporate governance issues people do not enter that stock. So, that is really lift Bharti and Idea Cellular. Now Bharti has a lot of catching up to do and I am not surprised so I would say there is still a lot more room left in Bharti Airtel but around Rs 350 levels also people will start looking at fundamentals etc which is falling EBITDA margins large debt, global debt etc. So, around Rs 350 it has enough steam to go but at that time you will have to relook at that stock.”