Bharti Airtel Vs Reliance Communications Vs Idea Cellular – Analysts Take

Now that we have results from all the 3 listed cellular companies and Research Reports pouring in from various brokerages, I wanted to compare what Research Analysts think of these 3 companies post Q3 FY 09 results and the Conference Call with the management.

Before we discuss the analyst ratings, you may read the entire discussion of results here – [Airtel, RCom and Idea Cellular].

Analysts Ratings and View on Bharti Airtel:

• J P Morgan – Good Quarter of Execution. Neutral on the Stock as Industry headed into tougher times.
• Citigroup – Wireless Delivers Strong Topline. BUY
• HSBC – Traffic growth to assume focus. Overweight
• Merrill / BOFA – Healthy Outlook. Best in Class. BUY
• ABN Amro – Balanced Scorecard. BUY

Analysts Ratings and Views on Reliance Communications:

• J P Morgan – Results below expectation. Expect consensus cut. NEUTRAL
• Citigroup – Balance sheet normalization will affect GSM upside. Downgrade to SELL from HOLD
• HSBC – Retail skeptics about GSM strategy. NEUTRAL
• Merrill / BOFA – Subscriber quality – focal issue. NEUTRAL

Analysts Ratings and Views on Idea Cellular:

• J P Morgan – Continued margin pressure. Underweight
• Citigroup – New circles to drag down EBITDA. HOLD
• HSBC – Expansion in a competative environment. NEUTRAL
• Merrill / BOFA – Slow profit growth. NEUTRAL
• ABN Amro – Margins slip. SELL

Report Courtesy: Dalal Street