Vodafone Idea Share Price Explodes: 40% Upside Predicted - Here's Why

Vodafone Idea share price ended at ₹10.52 apiece on the NSE after hitting a new 52-week low of ₹9.79 on Friday. Although the stock prices have faced a significant drop, Nuvama predicts a potential 40% upside. This comes as a sigh of relief for the investors, as they had witnessed substantial losses in the past few weeks.

Vodafone Idea (Vi) is an Indian telecom operator that has been going through turbulent times. The competitive market and regulatory hurdles have had a substantial impact on the company's financial performance. However, according to Nuvama, the company seems to have finally hit rock bottom and may experience a significant rebound in the coming days.

The telecom operator has been continuously losing ground to its competitors, Bharti Airtel and Reliance Jio. Both of these companies have been continuously expanding their market share and rolling out new services to their subscribers. On the other hand, Vodafone Idea has struggled to keep up with the pace and innovate its offerings.

The 52-week low represents a significant decline for the company. Over the past year, the share price has plummeted, causing concern among investors. However, the predicted 40% upside comes as a welcome respite. If Nuvama's predictions hold true, the investors can expect to see a substantial turnaround in the coming days.

The potential turnaround in the share price can be attributed to the planned measures to boost revenue. The telecom operator has planned several offers and promotions to retain and expand its subscriber base. These efforts seem to have caught the attention of analyst communities, including Nuvama. With the predicted upside, the shares may eventually climb to ₹14.75.

To materialize the expected growth, the Vodafone Idea management will be working on several key strategies. One of the essential steps in this process will be the full deployment of its 5G services network. This step will elevate the company's competitive edge and allow it to provide better, high-quality services to its users.

Moreover, sources have reported a meeting between the management and the stakeholders. The objective behind this meet is set a comprehensive approach aimed at raising the resources for offering the telecom services in the markets currently inhabited by JIO and the emerging technologies for further collaborations and mutual revenue growth

The changes to the C-band and L-band spectrum auction seems to assist the progress forward and making a chance to the situation in return to revenue from past few quarters all as well for the merger with one of the tech giant in India