Indus Towers shares in focus on Monday after THIS Crisil ratings update; Stock down 6% in 30 days. Should you buy?

Bharti Airtel-owned Indus Towers Limited on Saturday, February 22, announced that the rating firm Crisil Ratings had upgraded its ratings for the long-term bank loan facilities and its ₹1,750 crore bonds to “Positive” from its earlier level of “Stable,” according to the exchange filing. 

Indus Towers shares will be in focus on Monday after the Indian stock market opens on February 24.

“This is to inform that on February 21, 2025, CRISIL Ratings has revised the outlook on the long-term bank loan facilities and ₹1,750 Crore bond (debt instruments) of Indus Towers Limited (‘the Company’) from ‘Stable’ to ‘Positive’ while reaffirming the rating at ‘CRISIL AA+’,” said the company in the BSE filing.

Bharti Airtel now owns 50 per cent shareholding of the firm with over 1.31 crore equity shares as of February 22. 

Indus Towers Share Price

Indus Towers shares closed 1.35 per cent lower at ₹336.45 after Friday's stock market close, compared to ₹341.05 in the previous market session. The company disclosed the credit ratings upgrade announcement on Saturday, February 22.

Indus Towers shares have given stock market investors 45 per cent returns in the last five years and 49 per cent returns in the last one-year period. However, the shares have been down 6 per cent in the last 30 days and are trading 2.43 per cent lower on a year-to-date (YTD) basis in 2025.

Shares of the firm hit their 52-week high level at ₹460.70 on September 2, 2024, while the 52-week low was at ₹217.65 on February 22, 2024, according to data collected from the BSE website. 

Expert View

Analysts at Motilal Oswal have assigned a “Neutral” rating to the stock, estimating a 9 per cent upside for Indus Tower shares.

“Operationally, the core performance was in line, with Indus’ recurring EBITDA rising 4% QoQ to INR39.3b (+8% YoY) as tower/tenancy additions picked up, while ARPT remained stable QoQ,” said the brokerage firm in a report.

The brokerage firm kept its FY2025-26 estimates broadly unchanged after the firm exceeded the brokerage's expectations for the October to December quarter results of FY2025. “We continue to assume ₹20 billion bad debt provisions from FY27.”

Indus Tower Ltd. (INDUSTOWER): Target Price at ₹400 (Bulls at ₹480, and Bears at ₹340); Potential Upside of 9 per cent.

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.