UBS has maintained its neutral rating on Vodafone Idea Ltd (Vi) with a target price of ₹9.7 per share after the telecom operator reported Q2FY26 results broadly in line with expectations. The brokerage noted that while the company continues to lose market share, the pace of decline has slowed compared to the previous year.
Vodafone Idea reported a net loss of ₹55.6 billion, narrower than UBS’s estimate of ₹67 billion and the consensus of ₹66 billion, mainly due to lower-than-expected interest expenses. UBS said this improvement was encouraging, but operational trends remain mixed as the company struggles to gain traction in subscriber additions and average revenue per user (ARPU).
The brokerage said its focus now shifts to management’s commentary on five key fronts — progress on 5G network rollout, capex plans, ongoing debt-raising efforts, and any further clarity on potential government relief related to AGR and spectrum liabilities. UBS added that near-term stock performance will hinge on visible movement in funding arrangements and the timing of network investments.
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