Buy Bharti Airtel 420 Put, Idea Cellular 170 Call: Harihar

TS Harihar of HRBV Client Solutions told CNBC-TV18, "We are betting on outperformance of Idea Cellular vis-à-vis Bharti Airtel and the reason we are sceptical on Bharti is that there was an expectation that Bharti Airtel would hive off its African towers business. I think that has not happened to a substantial extent. If you look at the last quarter results and if you take out the extraordinary numbers, the numbers were disappointing.""Therefore, we are suggesting going long on Idea Cellular through Options and go short on Bharti Airtel through Options. So we are suggesting buying 420 Bharti Airtel August Put at Rs 9.50 and simultaneously buy Idea Cellular 170 Call at Rs 5. So the total premium that you pay will be the maximum loss on this strategy and we expect this strategy to benefit from the outperformance of Idea vis-à-vis Bharti Airtel," he said.Disclosure: Neither analyst nor his company has any exposure to the stock.