Shares of telecom major Bharti Airtel jumped 3 per cent in early trade to hit an intraday high of Rs 727.55 after the company posted a healthy set of numbers for the quarter ended March 2022.
The telco reported 164.5 per cent year-on-year jump in consolidated net profit at Rs 2,008 crore for the fourth quarter ended March 2022, mainly boosted by recent traffic. It had reported a profit of Rs 759 crore in the year-ago period.
The stock opened 2.52 per cent higher at Rs 725.40 against the previous close of Rs 707.55. With a market capitalisation of more than Rs 3,89,000 crore, the shares stand higher than 5-day and 200-day moving averages but lower than 20-day, 50-day and 100-day moving averages.
Airtel reported consolidated revenue from operations of Rs 31,500 crore for the quarter ended March 31, compared with Rs 25,747 crore in the same period last year, according to a regulatory filing.
The telco's average revenue per user (ARPU) increased to Rs 178 in Q4FY22 from Rs 145 in Q4FY21.
Nomura has maintained its 'buy' rating on the telco's stock with a target price of Rs 855. For India wireless, it said that the higher average revenue per user and net additions will drive further market share gains.
Jefferies also has a 'buy' call on Bharti Airtel with a target price of Rs 880. However, the brokerage firm has cut its EBITDA estimates by 1-2 percent on higher diesel prices.
Airtel's board has also considered and recommended a dividend of Rs 3 per fully paid-up equity share of face value Rs 5 each and Rs 0.75 per partly paid-up equity share of face value Rs 5 each (paid-up Rs. 1.25 per share) for the financial year 2021-22.
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