Citi has reaffirmed its Buy rating on Indus Towers stock, setting a target price of ₹490, implying a 47% upside from its current market price (CMP) of ₹333.95. The brokerage sees strong tenancy growth and telecom infrastructure expansion as key drivers.
Key takeaways from Citi’s report:
- Growth outlook remains strong for the next 1-2 years, driven by expanding telecom infrastructure needs.
- Vodafone Idea and Bharti Airtel’s network expansions are expected to drive higher demand for tower installations.
- FY26 tenancy growth projected at 15% following the acquisition of 16,000 towers.
- Strong free cash flow (FCF) generation should enable dividend payouts in Q4, supporting investor confidence.
- EV charging business expected to be a large annuity-based B2B model, adding a new revenue stream.
Citi remains optimistic about Indus Towers’ long-term potential, citing strong tenancy growth, telecom sector expansion, and diversification into EV infrastructure as key catalysts.
Disclaimer: This article is for informational purposes only and should not be considered financial advice. Investors should conduct their own research before making any investment decisions.
