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Indian (NIFTY) Telecom Sector Analysis

UpdatedDec 31, 2025
DataAggregated Company Financials
Companies134
  • 7D-0.7%
  • 3M9.5%
  • 1Y18.7%
  • YTD17.8%

In the last week, Telecom has been flat. The past year has been better, since the industry has gained 19% in that time. As for the next few years, earnings are expected to grow by 14% per annum.

Sector Valuation and Performance

Has the Indian Telecom Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 31 Dec 2025₹18.0t₹3.4t₹566.3b20.3x31.7x5.3x
Fri, 28 Nov 2025₹18.0t₹3.4t₹566.3b22.5x31.7x5.3x
Sun, 26 Oct 2025₹17.5t₹3.3t₹544.4b24.8x32.1x5.4x
Tue, 23 Sep 2025₹17.0t₹3.3t₹542.7b25.2x31.3x5.2x
Thu, 21 Aug 2025₹16.7t₹3.3t₹541.9b28.2x30.9x5.1x
Sat, 19 Jul 2025₹16.8t₹3.1t₹517.2b29.9x32.6x5.4x
Mon, 16 Jun 2025₹16.4t₹3.1t₹507.6b29.9x32.4x5.3x
Wed, 14 May 2025₹16.1t₹3.0t₹418.8b27.5x38.4x5.4x
Fri, 11 Apr 2025₹15.0t₹3.0t₹410.6b25.1x36.5x5x
Sun, 09 Mar 2025₹14.4t₹3.1t₹416.8b26.6x34.5x4.7x
Tue, 04 Feb 2025₹14.9t₹3.0t₹271.0b31.3x55x5x
Thu, 02 Jan 2025₹15.1t₹3.1t₹257.1b36.7x58.9x5x
Sat, 30 Nov 2024₹15.3t₹3.1t₹263.3b31.3x58.3x5x
Mon, 28 Oct 2024₹15.3t₹3.0t₹258.4b31.2x59.3x5.1x
Wed, 25 Sep 2024₹16.4t₹3.0t₹251.5b37.5x65.1x5.5x
Fri, 23 Aug 2024₹14.6t₹3.0t₹257.1b38.2x56.7x4.8x
Sun, 21 Jul 2024₹14.1t₹3.0t₹216.8b35.1x64.9x4.7x
Tue, 18 Jun 2024₹13.5t₹3.0t₹217.8b35.2x62.1x4.5x
Thu, 16 May 2024₹12.4t₹3.0t₹234.5b32.1x53x4.2x
Sat, 13 Apr 2024₹11.5t₹2.8t₹234.2b32.8x49x4x
Mon, 11 Mar 2024₹11.1t₹2.8t₹233.9b34.2x47.3x3.9x
Wed, 07 Feb 2024₹10.6t₹2.8t₹230.6b41.4x46x3.7x
Fri, 05 Jan 2024₹10.1t₹2.8t₹203.6b37.6x49.7x3.7x
Sun, 03 Dec 2023₹9.5t₹2.8t₹203.6b31.4x46.8x3.4x
Tue, 31 Oct 2023₹8.7t₹2.7t₹184.7b33x47.3x3.2x
Thu, 28 Sep 2023₹8.8t₹2.7t₹181.1b34.2x48.8x3.3x
Sat, 26 Aug 2023₹8.5t₹2.7t₹180.8b31.7x47.1x3.2x
Mon, 24 Jul 2023₹8.4t₹2.7t₹196.9b30.7x42.4x3.1x
Wed, 21 Jun 2023₹7.9t₹2.6t₹196.5b31.2x40x3x
Fri, 19 May 2023₹7.3t₹2.6t₹186.7b35x38.9x2.8x
Sun, 16 Apr 2023₹7.1t₹2.6t₹164.8b32.3x43.1x2.8x
Tue, 14 Mar 2023₹7.0t₹2.6t₹163.6b30.8x43.1x2.7x
Thu, 09 Feb 2023₹7.3t₹2.5t₹207.5b31.2x35.2x2.9x
Sat, 07 Jan 2023₹7.6t₹2.5t₹232.2b30.6x32.6x3x
Price to Earnings Ratio

32.6x


Total Market Cap: ₹7.6tTotal Earnings: ₹232.2bTotal Revenue: ₹2.5tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Telecom Sector Price to Earnings3Y Average 45.2x20242025
Current Industry PE
  • Investors are pessimistic on the Indian Communication Services industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 31.7x which is lower than its 3-year average PE of 45.2x.
  • The 3-year average PS ratio of 4.3x is lower than the industry's current PS ratio of 5.3x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 35% per year over the last three years.
  • Revenues for these companies have grown 11% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Indian Telecom sector?

IN Market-0.90%
Telecom-0.74%
Entertainment3.30%
Telecom Services and Carriers1.26%
Media-0.82%
Wireless Telecom-1.09%
Interactive Media and Services-2.26%
Industry PE
  • Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 40.2%, which is higher than its past year's earnings growth of 7.5% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, which is trading below its 3-year average of 19.6x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 40% over the next 5 years.
  • This is better than its past earnings growth rate of 7.5% per year.
  • In contrast, the Interactive Media and Services industry is expected to see its earnings decline by 17% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
TATACOMM Tata Communications₹1.83k3.0%
+₹15.4b		5.8%PE36.3x
NAZARA Nazara Technologies₹273.5514.3%
+₹12.7b		8.3%PE156.9x
HFCL HFCL₹67.795.5%
+₹5.1b		-40.5%PE351.3x
RAILTEL RailTel Corporation of India₹371.554.1%
+₹4.7b		-8.3%PE37.2x
SUNTV Sun TV Network₹587.552.0%
+₹4.6b		-14.9%PE14.3x

Latest News

NAUKRI
₹1,333.60
Info Edge (India)
7D
-2.4%
1Y
-23.6%

NAUKRI: Upcoming Subsidiary Investments Will Drive Long Term Bullish Outlook

Narrative Update: Info Edge (India) Analyst Price Target Analysts have maintained their fair value estimate for Info Edge (India) at ₹1,554.48, with only marginal tweaks to the discount rate and valuation assumptions, reflecting steady confidence in the company s long term growth and profitability outlook. What's in the News Board to consider investing about Rs. 46.81 crores in Unboxrobotics Labs Private Limited at the meeting scheduled for December 23, 2025 (Board meeting agenda).
TATACOMM
₹1,825.30
Tata Communications
7D
3.0%
1Y
5.8%

TATACOMM: Expanding AI Voice And Loyalty Platforms Will Drive Long-Term Upside

Analysts have modestly reaffirmed their outlook on Tata Communications, keeping the fair value estimate steady at ₹2,073.7. Slightly lower discount rate assumptions offset unchanged expectations for revenue growth, profit margins and future valuation multiples. What's in the News Tata Communications, Real Madrid CF and Footballerista Mobile launch the exclusive Madridista Premium loyalty programme in India.
RAILTEL
₹371.55
RailTel Corporation of India
7D
4.1%
1Y
-8.3%

Returns On Capital At RailTel Corporation of India (NSE:RAILTEL) Have Stalled

Dec 26
Returns On Capital At RailTel Corporation of India (NSE:RAILTEL) Have Stalled
INDUSTOWER
₹418.75
Indus Towers
7D
-1.2%
1Y
21.7%

INDUSTOWER: African Foray Via UAE Subsidiaries Will Shape Future Outlook

Analysts have modestly raised their price target on Indus Towers to ₹422.91 per share. This reflects slightly lower perceived risk, marginally softer long term revenue expectations, and a small uplift in profit margin forecasts that together support a similar valuation multiple on improved earnings quality.
AFFLE
₹1,799.40
Affle 3i
7D
1.1%
1Y
1.5%

AFFLE: Upcoming Q2 Results Will Confirm Bullish Long Term Outlook

Analysts have modestly revised their price target on Affle 3i to ₹2,036.67 per share, reflecting largely unchanged fundamental assumptions with only marginal tweaks to long term revenue growth and profitability expectations. What's in the News Board meeting scheduled on November 01, 2025, to consider and approve unaudited standalone and consolidated financial results for the second quarter and half year ended September 30, 2025 (company filing) Valuation Changes Consensus Analyst Price Target remains unchanged at ₹2,036.67 per share, indicating no material shift in overall valuation.
HFCL
₹67.79
HFCL
7D
5.5%
1Y
-40.5%
NAZARA
₹273.55
Nazara Technologies
7D
14.3%
1Y
8.3%

NAZARA: Capital Strengthening And ESOP Plan Will Support Future Upside Potential

Analysts have significantly lowered their fair value estimate for Nazara Technologies from ₹1,723 to ₹390, citing tempered revenue growth expectations, a slightly lower discount rate, modestly improved profit margin assumptions, and a pullback in projected future valuation multiples. What's in the News Nazara Technologies has scheduled a Special and Extraordinary Shareholders Meeting via postal ballot in India on January 15, 2026, to seek shareholder approvals on key corporate matters (company filing).
532454
₹2,105.70
Bharti Airtel
7D
-0.8%
1Y
31.9%
IDEA
₹10.76
Vodafone Idea
7D
-10.5%
1Y
34.3%

IDEA: Future Returns Will Stay Limited By Government Liability Overhang

Narrative Update on Analyst Price Target Analysts have made a modest upward revision to their price target on Vodafone Idea, citing slightly lower discount rates, marginally improved long term profit margin expectations, and a marginally cheaper projected future P E multiple that together enhance the stock's risk reward profile. This nudges fair value closer to ₹8.90 per share.
PFOCUS
₹235.57
Prime Focus
7D
-2.4%
1Y
68.9%

Revenues Not Telling The Story For Prime Focus Limited (NSE:PFOCUS) After Shares Rise 27%

Dec 19
Revenues Not Telling The Story For Prime Focus Limited (NSE:PFOCUS) After Shares Rise 27%
BHARTIHEXA
₹1,821.70
Bharti Hexacom
7D
0.3%
1Y
22.8%

BHARTIHEXA: Expanding Profit Margins Will Likely Fail To Justify Rich Pricing

Analysts have raised their price target for Bharti Hexacom by approximately ₹70, citing expectations of stronger revenue growth, expanding profit margins, and a slightly lower future price to earnings multiple that together support a higher fair value estimate. What's in the News Board meeting scheduled on October 31, 2025, to review and approve audited financial results for Q2 and the half year ended September 30, 2025 (company filing) Additional board meeting slated for November 3, 2025, to consider and record audited financial results for Q2 and the half year ended September 30, 2025, indicating flexibility in finalizing the accounts timetable (company filing) Valuation Changes The Fair Value Estimate has risen moderately from ₹1,386.26 to ₹1,453.60, reflecting a higher intrinsic value assessment.
ZEEL
₹89.96
Zee Entertainment Enterprises
7D
-2.0%
1Y
-26.9%

ZEEL: Board Leadership Shift Will Support Stronger Long Term Earnings Outlook

Analysts have nudged their fair value estimate for Zee Entertainment Enterprises slightly higher to approximately ₹138 per share from about ₹136, citing marginally improved assumptions on long term revenue growth, sustainable profit margins, and a modestly richer forward earnings multiple. What's in the News Zee Entertainment has scheduled a special shareholders meeting via postal ballot in India on November 28, 2025, to seek approval for appointing R.
TIPSMUSIC
₹552.25
Tips Music
7D
5.1%
1Y
-25.0%

TIPSMUSIC Stronger Margins And Upcoming Dividend Are Expected To Drive Upside

Analysts have raised their fair value estimate for Tips Music from ₹612.00 to ₹671.00, citing expectations of stronger long term profitability and slightly lower perceived risk, despite modestly softer revenue growth assumptions. What's in the News Board meeting scheduled for October 15, 2025, to review and approve unaudited financial results for the quarter and half year ended September 30, 2025 (company filing).
SUNTV
₹587.55
Sun TV Network
7D
2.0%
1Y
-14.9%

Is Sun TV Network (NSE:SUNTV) A Risky Investment?

Dec 13
Is Sun TV Network (NSE:SUNTV) A Risky Investment?
VERTOZ
₹71.29
Vertoz
7D
-4.4%
1Y
-50.5%
532371
₹49.59
Tata Teleservices (Maharashtra)
7D
-2.7%
1Y
-36.0%