What's Driving IndiGo's Momentum? A Look At Fleet Strategy, Global Expansion, Analyst Commentary
IndiGo's share price has surged over 20% over the past year, significantly higher than its only listed peer, SpiceJet, which has declined over 50% in the same period.
Goldman Sachs said that InterGlobe Aviation Ltd. is poised for sustained growth with faster international expansion. The brokerage expects international travel to remain the primary engine for growth in the coming quarters. The brokerage has also maintained a target price of Rs 6,000 for the company's stock.
"With capacity expansion and robust demand across global routes, we expect international travel to remain the primary engine for growth in coming quarters," the brokerage said.
It added that IndiGo is likely to "deliver 11% compound annual growth rate (FY25-28E) in ASK driven by 19% CAGR (FY25-28E) in international expansion".
Notably, IndiGo's stock has surged over 20% in the last one year, significantly higher than its only listed peer SpiceJet Ltd., which has declined over 50% in the same period.
Goldman Sachs further added that IndiGo is well-positioned to capitalise internationally with better pricing, and a more extensive pipeline of new routes, helping it sustain growth. "Two new international airports (one each in Mumbai and Delhi) will also aid growth."
Interestingly, the airline, only a day ago, announced expansion of its international fleet as it commenced flights from Mumbai to Copenhagen, the capital of Denmark
Copenhagen is IndiGo's 44th international and 138th destination overall. The airline, which is expanding its international network, in July, started operating services to Amsterdam and Manchester from Mumbai, as per a PTI report.
With a fleet of over 400 planes, IndiGo operates around 2,200 flights daily, the report added.
Moreover, on Oct. 4, the Directorate General of Civil Aviation data pointed out that IndiGo continues to dominate India’s domestic aviation market, holding the largest market share at 64.2% in August 2025.
Further, IndiGo maintained a low cancellation rate of 0.51%, while the Air India Group reported 0.69%. Star Air’s cancellation rate was higher at 2.35%. SpiceJet and Alliance Air recorded cancellation rates of 4.31% and 4.97%, respectively.
