Interglobe Aviation
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
InterGlobe Aviation (IndiGo) is navigating a complex operational landscape marked by elevated fuel costs and geopolitical tensions, yet management remains committed to a long-term growth strategy. Recent commentary highlights a focus on expanding international capacity to 40% by 2030, supported by a robust order book of over 900 aircraft and strategic investments in fleet modernization and digital infrastructure. Despite short-term earnings pressures, driven by high ATF prices and currency volatility, the company is leveraging its dominant domestic market share to maintain pricing discipline and protect margins. Vista's financial outlook anticipates accelerating revenue growth, underpinned by strong demand and operational resilience, while margins are expected to remain stable despite current headwinds. The airline industry is experiencing a resurgence in travel demand, which, coupled with IndiGo's strategic initiatives, positions the company favorably for long-term growth. However, watchpoints include ongoing fuel price volatility and geopolitical risks that could impact profitability. Over the next 12-24 months, key opportunities lie in international expansion and operational efficiency, while headwinds include competitive pricing pressures and external macroeconomic factors
Why We Like This Stock
- Management's commitment to expanding international capacity to 40% by 2030 supports long-term growth
- Strong domestic market share provides a competitive advantage and pricing power
- Strategic investments in fleet modernization and digital infrastructure enhance operational efficiency
Things To Watch Out For
- Elevated fuel costs and currency volatility are pressuring near-term margins
- Geopolitical tensions could disrupt operations and impact profitability
- Intense competition in the airline industry may lead to pricing pressures
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 68,904 | 80,803 | 84,962 | 92,561 | 103,189 |
| Profit Before Tax (Cr.) | 7,054 | 6,107 | -367 | -2,700 | 1,966 |
| PBT Margin | 10.2% | 7.6% | -0.4% | -2.9% | 1.9% |
| Net Profit (Cr.) | 7,053 | 5,837 | -712 | -2,025 | 1,475 |
| Earnings Per Share | 182.4 | 151.0 | -18.4 | -52.4 | 38.1 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Goldman Sachs | ▲ Buy | 5,900 | 29-Sep-2026 |
| Jeffries | ▲ Buy | 5,840 | 21-Sep-2026 |
| HSBC | ▲ Buy | 6,040 | 09-Sep-2026 |
| ICICI Securities | ▲ Buy | 6,020 | 01-Sep-2026 |
| Motilal Oswal | ▲ Buy | 6,580 | 28-Aug-2026 |
| Anand Rathi | ▲ Buy | 5,550 | 27-Jul-2026 |
| Ambit Capital | ▲ Buy | 5,350 | 24-Jul-2026 |
| Citigroup | ▲ Buy | 5,800 | 24-Jul-2026 |
| Elara Capital | ▲ Buy | 6,020 | 24-Jul-2026 |
| Investec | ▼ Reduce | 4,050 | 24-Jul-2026 |
| JPMorgan | ► Neutral | 4,740 | 24-Jul-2026 |
| Kotak Securities | ▲ Buy | 5,900 | 24-Jul-2026 |
| Moneycontrol | ► Equalweight | nan | 24-Jul-2026 |
| Prabhudas Liladhar | ► Hold | 4,520 | 24-Jul-2026 |
| UBS | ► Hold | 5,450 | 24-Jul-2026 |
| Nuvama | ► Hold | 5,335 | 10-Jun-2026 |
| Emkay Global | ▲ Buy | 5,200 | 09-Jun-2026 |
| Morgan Stanley | ▲ Overweight | 5,844 | 09-Jun-2026 |
| BofA | ▲ Buy | 5,100 | 01-Jun-2026 |
| JMFinancials | ► Hold | 5,000 | 29-May-2026 |
Company Overview
Show Company Profile
InterGlobe Aviation Limited, together with its subsidiaries, provides air transportation services under the IndiGo brand in India and internationally. The company offers pre-flight and post-flight ground handling operations; passenger and cargo services; and related allied services, such as in-flight sales, and other allied services at the airports. It also engages in aircraft and aircraft engine leasing, as well as related financial services. In addition, the company provides cargo transport; charter flights; hotel booking services through its website and mobile app; and cadet pilot program for pilot training. As of March 31, 2025, its fleet consisted of 434 aircraft. The company serves businesses, leisure travelers, students, and families. InterGlobe Aviation Limited was incorporated in 2004 and is based in Gurugram, India.