Vodafone Idea Surges to One-Year High on AGR Relief Hopes Analyst Set Target Price of ₹13

Shares of Vodafone Idea Ltd continued their upward momentum for the second consecutive session on Friday, rising 3.91 per cent to touch a one-year high of ₹11.69. The stock later settled 3.64 per cent higher at ₹11.66, taking its two-day gain to 8.76 per cent. From its recent low of ₹9.93, recorded on December 1, the stock has staged a strong rebound, surging over 15 per cent. In December so far, Vodafone Idea shares have advanced in seven out of 10 trading sessions.

The rally is largely driven by optimism around possible government relief on the long-pending AGR dues issue following an order by the Supreme Court of India. While the government has not yet outlined a concrete plan or timeline, it has consistently reiterated its intent to ensure Vodafone Idea’s survival, maintaining that the telecom sector should have at least three private players. Currently, the government holds a 48.99 per cent stake in the company.

Commenting on the stock’s recent performance, Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, highlighted a sharp recovery supported by strong volumes. She noted that Vodafone Idea has bounced back from levels near ₹10.10 over the past five trading sessions, gaining more than 10 per cent within just four to five sessions.

“A clear pickup in volumes is visible, which is a positive indicator. The stock is comfortably trading above ₹11 and is likely to sustain this level. As long as it holds above ₹11, the momentum can extend further,” Parekh told ET NOW Swadesh. She added that Vodafone Idea could be considered a momentum buy. Parekh advised investors to go long on the stock with a stop loss at ₹10.70, setting initial targets at ₹12, followed by ₹12.50 and ₹13.

Vodafone Idea is a constituent of the BSE 500 and commands a market capitalisation of ₹1.25 lakh crore as of December 12, according to data from the BSE. The stock has surged around 50 per cent over the past three months and nearly 70 per cent in the last six months. Meanwhile, Vodafone Idea narrowed its consolidated net loss during the July to September quarter (Q2FY26) to ₹5,584 crore. The company had posted a net loss of ₹7,176 crore in the same period last year (Q2FY25). The company narrowed losses owing to a drop in finance costs, which the company said came from settlements from vendors which were earlier provisioned into its accounts. Lower forex fluctuation also contributed to the improved financials. The customer ARPU rose to ₹180 in Q2FY26 compared to ₹166 in Q2FY25, a year-on-year (YoY) increase of 8.7 per cent supported primarily by customer upgrades and tariff increase.