Vodafone Idea Ltd.
Telecom · NSE
52-week range
₹6 – ₹13
From 52w high
-12.2%
RSI (14)
75.6
vs SMA 50 / 200
↑ 50 · ↑ 200
Vodafone Idea (IDEA) is a large-cap Indian telecom operator trading at ₹11.24, up 63.37% over 12 months, but reporting a profit margin of -55.32% with no trailing PE, no measurable ROE, and a quality score of 40 out of 100 — ranking 3rd of 6 sector peers. The balance sheet remains under structural stress, with debt-to-equity unavailable due to the capital structure, and ongoing regulatory obligations including ₹64,046 crore in restructured AGR dues.
- ✓FCF was positive in 3 of the last available years, suggesting the company has at times generated operating cash flow despite deep net losses — a divergence worth examining in the context of non-cash charges.
- ✓Revenue has grown 1.9% over 5 years, indicating the subscriber base and ARPU trajectory has not collapsed entirely, even as profitability has remained deeply negative.
- ✓The stock is currently trading above both its 50-DMA (₹9.73) and 200-DMA (₹9.44) at ₹11.24, reflecting positive price momentum relative to medium- and long-term moving average levels.
- ✓DoT has revised AGR dues down to ₹64,046 crore and allowed staggered payments — a reduction in the near-term cash liability cadence compared with the original demand schedule.
- ✗Profit margin of -55.32% with null ROE and null trailing PE reflects deep structural losses; the company has zero years of ROE above 15% in the available history and a consistency score of 20 out of 100.
- ✗Debt-to-equity is null, most likely because book equity is negative or near-zero — a capital structure that constrains the company's ability to raise equity or debt on conventional terms.
- ✗Mean analyst rating of 3.29 across 21 analysts (1–5 scale, lower = more constructive) places coverage near the midpoint of the scale, with no clear convergence toward the constructive end.
- ✗RSI of 75.63 indicates an overbought technical condition at current levels, with the nearest resistance cluster at ₹11.90–₹12.80, while 3-month price change is nearly flat at -0.97%, suggesting momentum has stalled despite the 1-year gain.
- ·Vodafone plc is reported (Bloomberg, ET Telecom, May 2026) to be weighing a partial stake transfer in the India unit to strengthen the balance sheet — a development that underscores the continued dependence on parent-company support for capital adequacy.
- ·DoT trimmed Vodafone Idea's AGR dues to ₹64,046 crore and allowed staggered payments (Economic Times, April 2026), reducing near-term payment pressure, though the obligation remains material relative to the company's operating scale.
- ·Citi initiated a view on the stock with a price target implying approximately 38% upside (MSN, May 2026), describing it as a high-risk stock — illustrating the divergence between potential upside scenarios and the acknowledged risk profile among sell-side analysts covering the name.
- ?Does the positive FCF in 3 of the available years reflect genuine operating cash generation, or is it driven primarily by non-cash accounting items such as depreciation on deferred capex?
- ?If AGR dues of ₹64,046 crore are paid over the restructured schedule, how does that payment cadence compare with the company's current annualised revenue run-rate, and what does that imply for the debt-service burden?
- ?The 63.37% 1-year price appreciation has occurred against a backdrop of persistent net losses — what specific catalysts (regulatory relief, ARPU growth, equity infusion) would need to materialise for the operating model to turn profitable?
- ?Given that Vodafone plc is reportedly weighing a stake transfer to support the India unit, how would a significant dilution event affect existing shareholders' equity stake and the stock's per-share metrics?
PE
—
Forward PE
-5.2
ROE
—
Profit margin
-55.3%
D/E
—
Dividend yield
—
Quality score
40/100
ROE 5y above 15%
0/5 yrs
FCF 5y positive
3/5 yrs
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.Analysis generated 11 May 2026.