InvestorQ : Why has Bharti Airtel stock gained so sharply in the last few weeks in the market?
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Why has Bharti Airtel stock gained so sharply in the last few weeks in the market?

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rhea Babu answered.
5 months ago
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Bharti Airtel gained 28% in two months and closed at Rs.505 in the previous week. This was triggered by robust earnings growth for the September quarter and a jump in the subscriber base. CLSA has upped its target price to Rs.715 for Bharti Airtel.

The big boost came from record subscriber additions in the month of September. For example, Airtel added 3.8 million subscribers in September 2020, as evidenced by the latest TRAI data. On the other hand, Reliance Jio added just about 1.5 million users in September. Both gained at the cost of Vodafone Idea which lost 4.6 million subscribers in Sep-20.

Department of Telecom has already announced plans to release details of 5G bands shortly. However, promoter Sunil Mittal is of the firm view that India won’t be ready for 5G services before 2025. On the other hand, Mukesh Ambani has been urging the Indian government to go aggressive and accelerate the 5G spectrum auctions quickly.

The stock is gaining betting on the telecom gradually moving towards duopoly status where the ability to hike prices and boosting ARPUs comes back to the telecom companies.

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