Telecom Stocks Outlook for the week – 11 to 15.05.2015
In
the absence of any sector specific triggers, shares of telecom companies are
expected
to
exhibit mixed trends next week, with market leader Bharti Airtel remaining
positive,
and
Idea Cellular showing a negative bias.
The
outlook for the telecom stocks is mixed. Bharti Airtel is expected to gain
further and
remain
positive next week. Another, sector major Idea Cellular is expected to remain
weak.
Though there are no fundamental reasons driving scrips next week, there could
be some impact of the recent decision by telecom companies to cut roaming
charges. Leading
telecom
operators including Bharti Airtel, Idea Cellular, Vodafone and Reliance
Communications,
today slashed their voice and SMS tariff on national roaming by 20%
to
up to 75% effective from this month.
The
reduction in roaming tariffs announced by the telecom operators is in line with
recent
guideline
by the Telecom Regulatory Authority of India. On Apr 9, TRAI cut the
maximum
charges that can be imposed by telecom operators on voice calls and short
message services while
subscribers are on national roaming.
