Telecom stocks saw a sharp spike on Thursday as investors turned their attention to the much-awaited IPO of Jio Platforms and what its listing could mean for the sector. Bharti Airtel shares gained 3.88% to ₹1,869 while Indus Towers advanced 1.29% to ₹384.30. Vodafone Idea shares gained nearly a percent to ₹12.81, with Reliance Industries rising 2.59% to ₹1,206.35. According to reports from The Economic Times, the stock was the top gainer among the 30-share BSE Sensex and 50-share Nifty index, outperforming the broader market's 1.65% rise. At 11:56 AM, the stock was trading at ₹1,863.40, up 3.6% compared to the previous day's close.
Jio Platforms Ltd has filed its red herring prospectus (RHP) for an IPO of up to 27 crore equity shares, setting the stage for what could be India's largest-ever public issue. As reported by The Economic Times, anchor investor bidding will begin on October 19, 2026, followed by the public issue opening on October 21, 2026. The IPO is set to become India's largest, valuing JPL at approximately ₹10.3 trillion. The offering would surpass Hyundai Motor India's ₹27,900 crore IPO in 2024 and become India's largest-ever public issue. Jio Platforms has fixed the price band for its IPO at ₹1,065-1,119 per share, with the issue expected to raise more than ₹30,000 crore at the upper end of the band. Grey market activity indicates strong investor interest, with the grey market premium surging to around ₹220 on Wednesday evening, implying a 20% premium over the upper-end of the price band.
Nomura estimates Jio's equity value at ₹9.8 lakh crore to ₹10.3 lakh crore, while its analysis suggests Bharti Airtel trades at a discount despite stronger subscriber trends and tariff-hike prospects. According to The Economic Times, including net debt, spectrum liabilities and lease liabilities, Jio's estimated enterprise value comes to ₹10.9 lakh crore to ₹11.4 lakh crore. For Reliance Industries, the listing will put a market value on its 66.4% stake in Jio, with Nomura estimating the stake would be worth ₹481-506 per Reliance share before a holding company discount. With a 20% discount, that comes down to ₹385-405 per share. Nomura estimates Bharti Airtel's India telecom business is valued at 9.2 times FY28 EV/EBITDA, against 10.5-10.9 times for Jio at the proposed IPO valuation, with the brokerage saying Bharti's discount to Jio is unjustified.
Despite Thursday's strong performance, Bharti Airtel has declined 12% in calendar year 2026, aligning with the Nifty 50's overall fall. According to Business Standard, the stock hit a 52-week low of ₹1,726.30 on October 1, 2026, and touched a 52-week high of ₹2,174.50 on November 11, 2025. The current rally represents a significant recovery from the year's underperformance, with the stock showing resilience amid broader market challenges.
Nomura expects Bharti to be better placed for the next tariff increase because of its higher share of premium subscribers. As reported by The Economic Times, the difference was visible during the July 2024 tariff hike, with Bharti's ARPU rising by ₹34 over the following three quarters, compared with ₹25 for Jio. Bharti also added 2% subscribers during the period, while Jio lost 0.3%. The brokerage expects tariff hikes to become an important earnings driver for Jio after its listing, as the period of easy subscriber gains starts to fade. MOFSL builds in a smartphone tariff hike of 15% in December 2026, which should provide visibility on delivering 15% EBITDA CAGR over FY26-29E. For the wider telecom sector, the IPO comes at a time when investors are also watching subscriber growth, tariffs and earnings more closely.
