Motilal Oswal has reiterated its ‘Buy’ rating on Bharti Airtel, with a target price of ₹1,985. The brokerage emphasizes the company’s strengthening financial metrics and the importance of strategic capital allocation in the coming years.
Financial Outlook:
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Free Cash Flow (FCF): Bharti Airtel’s annual FCF is projected to exceed ₹500 billion by FY27, indicating robust cash generation capabilities.
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Debt Management: The company has effectively addressed high-cost debt, resulting in a comfortable leverage position.
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Revenue and EBITDA Growth: A compounded annual growth rate (CAGR) of 15% in consolidated revenue and 19% in EBITDA is anticipated over FY24-27, reflecting strong operational performance.
Motilal Oswal underscores that prudent capital allocation will be a critical factor for Bharti Airtel’s sustained growth and shareholder value creation.
