Vodafone Idea Share: Vodafone Idea’s shares are in the news after veteran businessman Kumar Mangalam Birla increased his stake. According to a report, Vodafone Idea shares have risen by about 76 percent in the last six months. There are many reasons behind this increase such as relief on AGgkR dues, commencement of three-year turnaround plan, reduction in operating losses and improvement in ARPUs.

Meanwhile, the confidence of investors has also been strengthened by the increasing confidence of promoter Kumar Mangalam Birla in the company. The stock is currently trading above its key wing coverage – 50 and 200 day SMAs, which indicates bullish recovery in the share price. Despite this, volatility remains high, with a one-year beta of 1.5. This indicates continuous ups and downs in the stock market.

What is the suggestion of market experts?

Despite the improvement in the stock, market experts remain cautious about Vodafone Idea shares. In its latest note, MK Research has upgraded the stock to ‘Add’ from the earlier ‘Sell’ call and set the target price at Rs 12. MK believes that the government’s ban on VI’s AGR liabilities is a key reason for the stock’s boost. This will provide a lot of relief to the company in cash flow and will give the company a chance for turnaround.

Relief on AGR dues

Vodafone Idea’s currently outstanding adjusted gross revenue (AGR) is Rs 87695 crore. The government has currently put this huge amount on ‘hold’. That means it doesn’t have to be paid yet. Earlier the company had to pay huge installments, but on December 31, the Union Cabinet has approved a big relief package for this debt-ridden company. Under this, the company will have to pay Rs 124 crore annually between March 2026 and March 2031. The larger installments will be paid in a window of 10 years between 2032 and 2041.

Losses reduced in December quarter

In the third quarter of the financial year 2026, the company suffered a loss of Rs 5286 crore as compared to Rs 6609 crore in the same quarter last year. During this period, operational revenue also increased marginally to Rs 11,323 crore instead of Rs 11,117 crore last year. Due to the addition of high-value customers and their plan upgrades, ARPU (average revenue per customer) increased to Rs 186, which was Rs 173 last year.

KM Birla’s confidence in shares increased

Veteran businessman KM Birla bought a total of 4.09 crore shares of Vodafone Idea between January 30 and February 1. He bought shares worth Rs 2.21 crore on January 30 at an average price of Rs 10.95 per share. After this, on February 1, 1.88 crore more shares were purchased at an average price of Rs 11.13 per share. This increased his stake in the company and gave an indication to the market of the promoter’s confidence in the company.

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Vodafone Idea Share: Another problem has come to the fore for debt-ridden company Vodafone Idea. The company’s shares were showing signs of improvement but now it has been shocked by a big tax demand. Vodafone Idea has received a GST penalty order of Rs 637 crore from the Ahmedabad GST Commissioner’s office, due to which investors will keep an eye on its shares on Friday.

Investors’ confidence in the company may be shaken

Telecom operator Vodafone Idea Limited on Thursday (January 1) said that it has received a penalty order of Rs 638 crore from the office of the Additional Commissioner of Central Goods and Services Tax (CGST) in Ahmedabad. This order has been passed under Section 74 of the Central Goods and Services Tax Act, 2017. In this, the company has to pay Rs 6,37,90,68,254 towards tax demand as well as applicable interest.

What is the allegation against the company?

The company has been accused of underpayment of tax and excessive claiming of input tax credit during the financial year 2021–22. Vodafone Idea said that it received this order on December 31, 2025. The company said in its filing that it does not agree with this order and will take appropriate legal options against it.

Meanwhile, the interesting thing is that despite the news of GST order, the stock rose by about 8 percent on Thursday and closed at the level of Rs 11.62. Shares of this company with a market cap of more than Rs 1.25 lakh crore will be in focus. It will be important to see what impact the penalty order has on the shares today.

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