This represents an upside of 51% from the stock’s Thursday (November 7) closing price of Rs 9.25 on the NSE.
The reaffirmed rating follows the Supreme Court’s recent order permitting the reassessment of the telecom company’s Adjusted Gross Revenue (AGR) dues.
According to Citi, the development provides the government with a legal framework to potentially extend financial relief to Vodafone Idea by allowing a full-scale review of the dues. The brokerage also maintained a high-conviction “BUY” call on Indus Towers with a target price of Rs 500.
In a key relief to Vodafone Idea, the apex court clarified that the Centre may now revisit and reconcile all pending AGR dues, not just the additional dues for FY2016–17. This clarification came after Vodafone Idea’s legal counsel requested a correction to the Supreme Court’s earlier order dated October 27, which was initially limited in scope.
The company had filed a writ petition challenging fresh AGR-related demands raised by the Department of Telecommunications (DoT), contending that these were unsustainable as liabilities had already been crystallised by the court’s 2019 verdict. The top court’s fresh order now paves the way for a government-led reassessment of the dues.As per filings, Vodafone Idea’s total AGR liability stood at over Rs 83,500 crore as of March 2025, including Rs 9,450 crore in additional dues. The AGR figure is used to determine licence fees and spectrum usage charges payable by telecom operators.Also read: Bharti Airtel shares tumble 4% after 5.1 crore shares change hands in block deal
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