BNP raises Bharti Airtel to 'buy', cuts Reliance Comm
Reuters Market Eye - BNP Paribas upgraded Bharti Airtel Ltd (BRTI.NS) to "buy" from "hold", it said in a note on Thursday.
Bharti is well positioned to benefit from an improving outlook for the sector, including a consolidating industry, the return of pricing power, and an expected "strong" pick up in wireless data use, says BNP.
BNP also retains its "buy" rating on Idea Cellular Ltd (IDEA.NS), calling the stock its "top pick" in the sector as the company is a "pure play" GSM mobile operator.
However, BNP cut Reliance Communications Ltd (RLCM.NS) to "reduce" from "hold" after noting shares had rallied 33.5 percent in the past three months.
Reliance Communications would have to pay for excess spectrum while suffering from "high" debt and lagging operating performance, BNP adds.
Bharti Airtel shares are down 0.8 percent as of 11:50 a.m. Idea is up 0.1 percent, while Reliance Communications is flat.
(Reporting by Devidutta Tripathy and Manoj Dharra)
- Tweet this
- Share this
- Digg this
- U.S. strikes have slowed Iraq militants but not weakened them - Pentagon
- INSIGHT - As Islamic State fighters begin to blend in, defeating them no easy matter
- RBI rule handicaps India's infrastructure hopes
- Japan aims to double India investment in 5 years - Nikkei
- Family of seriously ill Joan Rivers 'keeping fingers crossed' -daughter
The Nifty surged past the psychologically important 8,000 level for the first time to mark its latest record high as blue-chips such as Larsen & Toubro gained after better than expected quarterly economic growth data. Read