Shares of Indus Towers Ltd. are trading higher on Thursday, April 29, following brokerage firm Nomura's bullish initiation. According to reports from CNBC TV18, Nomura has assigned a 'Buy' rating on the stock with a price target of ₹490, implying an upside of about 18% from recent levels. The brokerage cited structural data growth and improving prospects for Vodafone Idea as key drivers, noting that stabilisation at Vi could unlock tenancy growth for Indus Towers and help narrow its valuation gap with global peers.
As reported by CNBC TV18, Nomura flagged dividend resumption as a potential re-rating trigger, estimating a payout of ₹19 per share in FY26, translating into a yield of around 4.7% at current levels. This dividend estimate represents a significant recovery from previous payout levels and could serve as a key catalyst for the stock's performance. The brokerage's optimistic outlook contrasts sharply with recent analyst downgrades.
According to CNBC TV18, the stock was last trading 0.59% higher at ₹416.40 and is down over 4% so far this year. Street opinion on the stock remains divided, with out of 24 analysts covering Indus Towers, 11 have a 'Buy' rating, six recommend 'Hold', and seven have a 'Sell' call. The positive initiation comes in contrast to a recent downgrade by Jefferies, which cut the stock to 'Underperform' from 'Buy' and slashed its price target to ₹375 from ₹530.
As reported by CNBC TV18, Jefferies had raised concerns around a cluster of site renewals due in the second half of CY26 and the first half of CY27, as well as elevated capital expenditure, which could weigh on earnings growth, free cash flow and future payouts. These concerns highlight the operational challenges facing the tower company in the near term. The contrasting analyst opinions reflect the complex dynamics affecting Indus Towers in the current market environment.
