Bharti Hexacom Q4 Results Review: Inline; Motilal Oswal Prefers Airtel Following Bharti Hexacom’s Sharp Run-Up

Motilal Oswal continues to like Bharti Hexacom’s superior execution on the premiumization agenda and continued market share gains. However, it believe a 25% premium is steep, and hence, prefers Airtel to Bharti Hexacom at present..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Bharti Hexacom Ltd. provides a pure-play exposure to Bharti Airtel’s fast-growing India wireless and home broadband segments. Given the relatively lower penetration of mobile and fixed broadband in Bharti Hexacom’s circles, its growth prospects are slightly better than Airtel's. Our earnings are broadly unchanged as we model a revenue/Ebitda/PAT CAGR of ~14%/21%/ 42% over FY25-28E. Since our initiation in March 2025, Bharti Hexacom has delivered ~30% returns and now trades at ~25% premium to the implied EV/Ebitda valuation for Bharti’s India business (vs ~13% on average since its listing).  We believe Bharti Hexacom should command a premium to Airtel, given its slightly higher growth, better RoCEs, and lower capital misallocation concerns, and ascribe a DCF-based Jun’27E EV/Ebitda of 14.5x (~10% premium to our multiple for Airtel’s India wireless business) to Bharti Hexacom. We reiterate our Buy rating on Bharti Hexacom with an SoTP-based revised target price of Rs 1,900. We continue to like Bharti Hexacom’s superior execution on the premiumization agenda and continued market share gains. However, we believe a 25% premium is steep, and hence, we would prefer Airtel to Bharti Hexacom at present..Click on the attachment to read the full report:.Bharti Airtel Q4 Review: Dolat Capital Maintains 'Add', Hikes Target Price Post Inline Results.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Bharti Hexacom Q4 Results Review: Inline; Motilal Oswal Prefers Airtel Following Bharti Hexacom’s Sharp Run-Up

Motilal Oswal reiterates its Buy rating on Bharti Hexacom with an SoTP-based revised target price of Rs 1,900.

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