InterGlobe Aviation (IndiGo) shares fell 9.8% to ₹3,938.05 on the NSE at 9:20 AM today, following a weak Q2 FY25 performance and varied responses from brokerages. IndiGo posted a net loss of ₹986.7 crore, primarily due to seasonality, higher fuel costs, and ongoing aircraft groundings, which impacted overall operational efficiency.
Brokerages remain divided in their outlooks:
- Kotak Institutional Equities: Maintains Buy with a target price of ₹5,200, citing temporary issues affecting profitability and optimism for sustained demand.
- Goldman Sachs: Reiterated Buy but cut the target to ₹4,800 due to short-term challenges; however, they highlighted fleet expansion and positive yield trends.
- Motilal Oswal: Assigned a Neutral rating with a target price of ₹4,130, expressing caution over the impact of fuel costs and ongoing engine issues, which have grounded over 60 aircraft.
The weak Q2 results, combined with mixed brokerage views, have prompted caution among investors, leading to today’s sharp decline in IndiGo’s stock.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should consult their financial advisors before making investment decisions.
