Vodafone Idea Ltd (VIL) shares remained on a growth trajectory for the fourth straight session on Friday. The shares were up 3.58 percent at the day’s high of ₹9.25. In the last four trading sessions, this has been an increase of 19.50 percent. However, apprehensions still linger over the company’s subscriber base and revenue growth curve.
Vodafone Idea Ltd shares are expected to be challenged on account of the 40 lakh decline in the December quarter, which would leave the total base at 20.1 crore. However, the average revenue per user is likely to grow 5% quarter-on-quarter at ₹164 per month. A commentary on capital expenditure would be essential to evaluate future prospects for the management.
Market Observations and Analyst Take on Vodafone Idea Ltd Shares
Vodafone Idea Ltd had Kranthi Bathini, director of equity strategy at WealthMills Securities, releasing cautious optimism over its shares. Recent capital infusions and network improvements have offered hope but subscriber retention still remains a challenge. “Investors with a high-risk appetite should hold the stock as growth in ARPU does offer some optimism,” he stated.
G Chokkalingam of Equinomics Research added, “If promoters inject more equity or achieve significant liability reductions, the company’s prospects could improve. However, substantial customer losses would remain a red flag.
Technically, analysts point out a support zone for Vodafone Idea Ltd shares around ₹8.50-₹8.40, while resistance is seen in the ₹9.50-₹10.80 range. Osho Krishan of Angel One said, “The stock has shown signs of a potential trend reversal, backed by increased momentum and volume. Investors may target ₹9.85 with a stop loss of ₹8.40.”
Business Developments
Vodafone Idea has begun deploying 5G in a few pockets and, so far, positive signals of better infrastructure have come. The Vodafone Group sold the last remaining 3% stake it held in Indus Towers to various investors for ₹2,800 crore from the UK recently, signaling a strategic shift.
While there are near-term triggers in this stock, maintaining the growth requires working through the subscriber challenge and continuing with ARPU momentum.
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