Vodafone Idea :Rises to a One-Year High on AGR Relief Expectations Analysts Set a ₹13 Target Price

Vodafone Idea:  Ltd shares increased 3.91 percent on Friday to reach a one-year high of ₹11.69, continuing their upward trend for the second straight session. The stock’s two-day gain reached 8.76 percent as it finished 3.64 percent higher at ₹11.66. From its recent low of ₹9.93, posted on December 1, the stock has mounted a spectacular comeback, gaining almost 15 per cent. Vodafone Idea shares have increased in seven of the ten trading sessions in December thus far.

The rally is primarily motivated by hope for potential government relief on the long-standing AGR dues issue in response to a Supreme Court of India order. The government has repeatedly reaffirmed its intention to secure Vodafone Idea’s existence, arguing that the telecom industry should have a minimum of three private companies, even though it has not yet presented a clear strategy or timescale. At the moment, the government owns 48.99 percent of the business.

Vice President of Technical Research at Prabhudas Lilladher, Vaishali Parekh, commented on the stock’s recent performance, pointing out a significant comeback bolstered by large volumes. She pointed out that during the last five trading sessions, Vodafone Idea has recovered from levels close to ₹10.10, recovering more than 10% in only four or five sessions.

There is a noticeable increase in volumes, which is encouraging. The stock is now trading at a comfortable level over ₹11 and is probably going to stay there. The momentum may continue as long as it stays over ₹11, Parekh told ET NOW Swadesh. Vodafone Idea may be seen as a momentum purchase, she said. Parekh suggested that investors establish first objectives at ₹12, then ₹12.50 and ₹13, and go long on the stock with a stop loss at ₹10.70.

According to statistics from the BSE, Vodafone Idea, a member of the BSE 500, has a market capitalization of ₹1.25 lakh crore as of December 12. Over the previous three months, the stock has increased by around 50%, and in the last six months, it has increased by about 70%. In the meanwhile, Vodafone Idea reduced its overall net loss to ₹5,584 crore during the July–September quarter (Q2FY26). In Q2FY25 of last year, the firm reported a net loss of ₹7,176 crore. The firm claimed that a decrease in financing expenses, which resulted from vendor settlements that had previously been funded into its books, helped to reduce losses. Improved financials were also a result of less FX volatility. Customer upgrades and pricing increases were the main drivers of the 8.7% year-over-year (YoY) growth in the customer ARPU, which increased to ₹180 in Q2FY26 from ₹166 in Q2FY25.