CLSA initiated a Sell Rating on the stock and cut target to Rs 12.50 from Rs 27 per share.
Share price of telecom major Vodafone Idea fell over 4 percent intraday after global research firm CLSA initiated a Sell Rating on the stock and cut target to Rs 12.50 from Rs 27 per share. It is of the view that operating metrics looks weak with slower-than-expected data adoption.
The firm has raised FY20 EBITDA estimates by 9 percent while FY21 gearing will be uncomfortable at 6.3x EBITDA.
However, Deutsche Bank has a Buy rating on Vodafone Idea with a target at Rs 70 per share. EBITDA is ahead of estimates but revenue growth is soft, it said. The firm is of the view that results should allay some investor concerns. Operating expenses declined sequentially on realisation of merger synergies while its operating metrics compare favorably to its peers.
Get Lok Sabha 2019 Live Election Results, constituency-wise tally, news, views and analysis
Follow our Lok Sabha Election Result Live Blog here.