Idea Cellular at life time high

Since we recommended "Buy on Idea Cellular" around 2 years ago, the stock has gone up more than 160% and has overtaken Bharti Airtel as the most favorite telecom stock in India. Fundamentally also the company has one of the healthiest balance sheet with debt-to-equity ratio of 0.9, lower than RCom’s 1.2 and Bharti Airtel’s 1.44.

Idea is now the only telecom operator to have delivered positive returns to its shareholders in the past six years, including the 2008 market crash. At present, Idea’s stock price is 32 per cent higher than that at the beginning of 2008, when the stock market was at its peak. 

Axiata hikes stake in Idea Cellular to 5.91%

Private telecom service provider Idea Cellular informed exchanges that Axiata Investments 2 (India) Ltd has hiked its stake in the company to 5.91% by acquiring additional shares worth Rs 306.69 crore through open market transactions. 

Idea Cellular block deal

There was a block deal of 1.15 crore Idea Cellular shares on NSE at Rs 80 per share in today's trade. The stock is up nearly 3% and is trading at 81 levels in the morning.

Telecom stocks at 52 week high

Telecom stocks are back to life after being dead for almost 2 years. Amid all the 2G controversies and fear of intense competition, bigger players have emerged stronger and this is getting reflected in the prices of the stocks of bigger listed telecom players like Bharti and Idea. RCom being directly accused in 2G scam it has not been able to perform in line with the sector.

Idea cellular today touched Rs. 82.55 (52 week high) in intraday before closing at Rs. 81.35. Bharti Airtel touched an intraday high of Rs. 409.45 (52 week high) before closing at Rs. 398.10.

Idea Cellular 2011 Results and Valuation

Idea Cellular has reported net profit of Rs 275 crore in the quarter ended March 2011, a growth of 13% as compared to Rs 243.1 crore in previous quarter. Revenues increased 7% to Rs 4,235 crore in fourth quarter of FY-11 as against Rs 3,955.6 crore in previous quarter.

For fiscal year 2011 the company reported Rs. 15,638 crores of revenue and Rs. 837 crores of profit. Though the revenue is up around 29% over fiscal year 2010, net profit came down by

Buy Idea Cellular - Indus Tower IPO to unlock value

 Idea cellular is india's 4th larget telecom operator behind Bharti airtel, Vodafone an Reliance with more than 90 million subscribers. At the current rate of subscriber addition the company will reach 100 million subscriber mark by August 2011.

The company has 16% stake in Indus tower which is the world's larget telecom tower company  and its valuation is estimated to be approximately Rs. 55,000 crores. So idea's stake in Indus tower is worth approximately Rs. 8,800 crores.

At the CMP of Rs. 70 the company commands a market cap of approx. Rs.23,000 crores. Excluding its stake in Indus tower the company is available at a value of just