Vodafone Idea Ltd shares climbed as much as 3.46 per cent in Tuesday's trading session to Rs 13.75 level. Analysts at Nomura India has upped its target price for the telecom operator to Rs 15 per share from Rs 6.50 earlier.
They have upgraded the stock to 'Neutral', saying Q4 FY24 results were in line with estimates, with the pace of subscriber loss moderating and average revenue per user (ARPU) registering modest uptick.
Voda Idea's consolidated loss after tax widened to Rs 7,675 crore during the fourth quarter (Q4 FY24). The company's consolidated revenue, however, moved 0.7 per cent higher on a year-on-year (YoY) basis to Rs 10,607 crore for the quarter ended on March 31, 2024.
Voda Idea's 4G subscriber base grew to 12.63 crore as on March 31, 2024, from 12.26 million a year ago. But its overall subscriber base fell about 6 per cent to 21.3 crore.
The telco's average revenue per user (ARPU), a key performance metric for telecom firms, rose to Rs 146 from Rs 135 a year earlier.
On the technical front, support on the counter could be seen at Rs 12.70, followed by Rs 12.20 and Rs 12.10 levels. At the higher end, a decisive breach above the Rs 14.50-14.70 zone is required for further upside.
"Rs 12.10 level remains crucial support zone. A decisive breach above Rs 14.50-14.70 levels is necessary to further strengthen the trend and establish conviction for a further rise. The next higher targets would be between Rs 16.30 and Rs 18," said Shiju Koothupalakkal - Technical Research Analyst at Prabhudas Lilladher.
"For now, Rs 12.70 level has substantially supported the counter, and the view remains intact until it manages to hover above the same. On the higher end, stiff resistance is placed around the Rs 14-14.50 zone, and a sustainable breach could only trigger a fresh round of traction in the comparable period," said Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One.
"Voda Idea shares can hit an upside target of Rs 14.50 in the near term. Keep stop loss placed at Rs 12.20," said Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking.
Vodafone Idea was formed in 2018 when Vodafone Group merged its India business with Idea Cellular.