BHARTIARTL - Investment Analysis

Last Updated Time : 02 Aug 25, 12:58 am

📊 Investment Rating: 4.4

📡 Long-Term Investment Outlook

Bharti Airtel (BHARTIARTL) is a strong long-term candidate, especially for investors seeking exposure to telecom and digital infrastructure.

🔍 Valuation & Growth Metrics

P/E of 50.7 matches the industry average, suggesting fair valuation.

PEG Ratio of 0.61 → undervalued relative to growth, a bullish signal.

Price-to-Book ~9.6x → high, but justified by strong ROE and earnings momentum.

💰 Profitability & Financial Strength

ROE (23.2%) and ROCE (13.5%) → solid capital efficiency.

EPS of ₹58.8 → robust earnings base.

Debt-to-Equity of 1.88 → high leverage, but manageable for a capital-intensive telecom.

Dividend Yield of 0.83% → modest, but consistent.

📉 Technical Indicators

RSI at 46.8 → neutral zone, no strong momentum.

MACD negative → short-term bearish crossover.

Trading near 50-DMA (₹1,912) and above 200-DMA (₹1,742)** → long-term uptrend intact.

📈 Institutional Sentiment

FII holdings up (+1.31%) → strong foreign investor confidence.

DII holdings slightly down (-0.14%) → neutral domestic sentiment.

🎯 Ideal Entry Price Zone

Entry Zone Rationale

₹1,750–₹1,850 Near 200-DMA and historical support zone

< ₹1,700 Strong buy zone if RSI dips below 40

Entering below ₹1,900 offers a better margin of safety with upside potential.

🧭 Exit Strategy / Holding Period

If you already hold BHARTIARTL

Holding Period: Minimum 5–7 years, given its strategic role in digital India and consistent earnings.

Exit Strategy

Partial exit if price crosses ₹2,100–₹2,200 without EPS growth.

Full exit if ROE drops below 15% or PEG rises above 2.

Hold if PEG stays <1 and quarterly profits continue to grow.

Would you like a comparison with Reliance Jio or Vodafone Idea to see how Airtel stacks up in the telecom space? 📶

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