The current focus is on the shares of the telecommunications company Vodafone Idea Ltd (NSE: IDEA). There has been a significant decrease in the share price today, reaching a record low of over 6 percent with an intraday low of 15.96.
The decline in shares is attributed to Vodafone Idea’s denial of media reports suggesting a potential collaboration with Elon Musk’s Starlink. In response to these rumors, the company’s share price plummeted by 6 percent to an intraday low of 15.95 on the NSE, down from Monday’s closing price of Rs 17 per share.
Vodafone Idea officially stated, “We would like to inform you that we are not involved in any discussions with the named person,” addressing the speculation. Following this clarification, the stock, which had experienced a significant surge in early January due to merger rumors, fell by 6 percent on January 2.
Vodafone Idea denies discussions with Elon Musk’s Starlink
Over the past six months, the stock has shown an impressive average rise of 114 percent. Recent reports suggested that the government might transfer its 33 percent stake in Vodafone Idea to Elon Musk’s Starlink, prompting stock exchanges to seek clarification from the telecom company.
Vodafone Idea, grappling with substantial debt, is actively seeking fresh capital from various sources, including promoters Aditya Birla Group and Vodafone PLC. CEO Akshay Mundra, after the second-quarter results, expressed optimism about receiving funds from promoters by the end of the quarter, but this target has yet to be achieved.
Despite recent fluctuations, Vodafone Idea shares have seen a 21% rise in the past five days and a remarkable 114% increase over the last six months. The current stock price has climbed from Rs 7.55 to its present value, marking a 103% annual increase. In 2015, the stock was valued at Rs 118.
About Vodafone Idea Ltd
Vodafone Idea, also known as Vi, is an Indian mobile network operator headquartered in Mumbai and Gandhinagar. As an all-India integrated GSM operator, it provides a range of services, including 2G, 4G, LTE Advanced, VoLTE, 5G, and VoWiFi. The company’s official website is myvi.in, and it is currently led by CEO Akshaya Moondra, who assumed the position on August 19, 2022.
Founded on August 31, 2018, Vodafone Idea operates with a workforce of 9,370 employees as of 2023. The company is under the umbrella of parent organizations Vodafone Group and Aditya Birla Group. In terms of financials, Vodafone Idea reported a revenue of 42,488 crores INR (equivalent to US$5.3 billion) in the year 2023.
Vodafone Idea Ltd – Fundamental Analysis
| Metric | Value |
|---|---|
| MARKET CAP | ₹ 77,157.31 Cr. |
| ENTERPRISE VALUE | ₹ 2,78,206.21 Cr. |
| NO. OF SHARES | 4,867.97 Cr. |
| P/E | 0 |
| P/B | 0 |
| FACE VALUE | ₹ 10 |
| DIV. YIELD | 0% |
| BOOK VALUE (TTM) | ₹ -18.57 |
| CASH | ₹ 771.60 Cr. |
| DEBT | ₹ 2,01,820.50 Cr. |
| PROMOTER HOLDING | 50.36% |
| EPS (TTM) | ₹ -6.38 |
| SALES GROWTH | 9.67% |
| ROE | 0% |
| ROCE | -4.62% |
| PROFIT GROWTH | -3.79% |
Vodafone Idea Limited Share: Last 5 Years’ Financial Condition
To enhance our comprehension of the market performance, let’s examine the historical outlook of this share in previous years. Nevertheless, investors should exercise caution by considering the associated risks and prevailing market conditions before making any investment decisions.
Last 5 Years’ Sales:
| PARTICULARS | March 2019 | March 2020 | March 2021 | March 2022 | March 2023 |
|---|---|---|---|---|---|
| Net Sales | 36,859.50 | 44,715 | 41,672.70 | 38,220.70 | 41,917.10 |
Last 5 Years’ Net Profit:
| Year | 2019 | 2020 | 2021 | 2022 | 2023 |
|---|---|---|---|---|---|
| Net Profit | -14,055.30 | -73,131.50 | -46,293.70 | -28,237.20 | -29,307.80 |
Vodafone Idea’s Last 5 Years’ Profit Growth Ratios
Profit Growth:
- 1-Year: -3.79%
- 3-Year: 16.94%
- 5-Year: -235.54%
Vodafone Idea Last 5 years’ Return on Equity (ROE)
- 1-Year: 0%
- 3-Year: 0%
- 5-Year: -46.39%
Vodafone Idea Limited Share peer’s company
- Bharti Airtel
- Indus Towers
- Tata Teleservice(Mah
- Railtel Corporation Of India Ltd.
- Hathway Cable & Data
Risk of Vodafone Idea Share
The company experienced a negative revenue growth of -2.13% over the last three years. Furthermore, it recorded a stagnant ROE of 0% and a negative ROCE of -10.34% during the same period. Additionally, the company currently holds a negative book value.
Vodafone Idea Share Price Summary
Vodafone Idea 52 Week Low and 52 Week High, Vodafone Idea’s all-time high of 118.41 rs.
| Metric | Value |
|---|---|
| Open | 15.90 |
| High | 16.45 |
| Low | 15.60 |
| Market Cap | 77.40 TCr |
| P/E Ratio | – |
| Dividend Yield | – |
| 52-week High | 18.40 |
| 52-week Low | 5.70 |
Shareholding Pattern Of Vodaphone Idea share
| Summary | 2024 |
|---|---|
| Promoter | 50.36% |
| FII | 2.46% |
| DII | 34.98% |
| Public | 12.2% |
Should You Invest In Vodafone Idea Ltd Shares?
The company has consistently upheld an impressive average operating margin of 32.22% over the past 5 years. Additionally, it boasts an efficient Cash Conversion Cycle of 19.66 days. Moreover, the company maintains a substantial promoter holding of 50.36%.
Conclusion
This article serves as a comprehensive guide to the Vodafone Idea Share Price target.
The information and forecasts are derived from our analysis, research, company fundamentals, historical data, experiences, and various technical analyses. The article delves into the share’s prospects and growth potential in detail.
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Disclaimer:
Dear readers, please be advised that we are not authorized by SEBI (Securities and Exchange Board of India). The information provided on this site is solely for informational and educational purposes and should not be construed as financial advice or stock recommendations. Additionally, share price predictions are intended for reference purposes only and are valid only under positive market conditions.
This study does not consider any uncertainties regarding the company’s future or the current market conditions. While this information is for informational purposes, we disclaim any responsibility for potential financial losses incurred based on the information provided on this site. We aim to offer timely updates about the stock market and financial products to assist you in making informed investment decisions. It is crucial to conduct your research before making any investment decisions.