Axis Capital has maintained its reduce rating on Zee Entertainment Enterprises Ltd, with a target price of Rs 80 per share. This comes despite Zee announcing an eight-year partnership with world soccer body FIFA to broadcast its all matches, including FIFA World Cup 2026, in the Indian market. The current market price is Rs 93.97 and the brokerage's target implies a potential downside of about 14.9%.
The brokerage noted Zee's partnership with FIFA for broadcasting rights in India, but said the accretion to advertising and subscription revenue could be limited by match timings. Axis Capital said it would await execution before baking in any benefits to ad and subscription revenue.
While the FIFA association could support near-term visibility for Zee, the brokerage remains cautious on the scale and durability of monetisation. It said ZEE5 could see a boost in subscription revenues during the season, helped by flagship events and related viewer interest.
However, Axis Capital cautioned that the uplift for ZEE5 is unlikely to be sticky after the flagship events conclude. The brokerage's current estimates assume a 4% subscription revenue CAGR over FY26-29E.
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Zee's Deal With FIFA
Zee Entertainment Enterprises Ltd (ZEEL) on Monday announced an eight-year partnership with world soccer body FIFA to broadcast its all matches, including World Cup 2026, in the Indian market. As part of a deal with Fédération Internationale de Football Association (FIFA), ZEEL will bring 39 FIFA global football events, including FIFA World Cup 2026, that kicks off on June 11, 2026.
The Indian football fans will be able to watch live coverage on ZEEL's sports network and also on its streaming platform ZEE5.
ZEEL will have media rights for FIFA World Cup 2026, FIFA World Cup 2030, FIFA Women's World Cup in 2027, along with other key FIFA events up to 2034 and docu-series content, for the Indian market, a joint statement said.
ALSO READ: FIFA World Cup 2026: Zee Entertainment Wins Broadcast Rights In India For Football's Biggest Event
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