Why Jefferies finds Vodafone Idea stock a turnaround play

SEBI RA – Shubh Consultancy – Sunil Kotak – INH000015826 Why Jefferies finds Vodafone Idea stock a high-beta turnaround play Jefferies has set Vodafone Idea share price target at ₹20, which implies an upside of 30 per cent from the previous close of ₹15.51. At the last check, Vodafone Idea shares were trading 0.13 per cent higher at ₹15.54 on the National Stock Exchange (NSE). Subscriber mix The brokerage expects subscriber stabilisation to drive a sharp improvement in revenue. It assumes 5-6 million M2M subscriber additions and -2 million to +8 million mobile subscriber additions over FY27-29. "This subscriber addition should lead to a stabilisation in subscriber market share for Vodafone Idea," Jefferies said, while estimating the company's revenue to grow at 11 per cent CAGR over FY26-29. The report further said that Vodafone Idea’s investments in scaling up the 4G/5G networks are also supporting an improvement in its subscriber mix. The share of VIL’s 4G/5G subscribers has increased from 43 per cent in March 2021 to 67 per cent in March 2026. "When comparing this to the same for Bharti Airtel, Vodafone Idea’s data subscriber penetration is lagging Bharti Airtel’s by three years. This offers a longer run-way for subscriber premiumization for VIL vs. its peers," it said. All this is for information This is not a buy/sell recommendation. Thank you, Technofunda24