Bharti Airtel: Nomura trims target to ₹2,220 in 2026

What changed in Nomura’s latest note

Nomura has adjusted its price target for Bharti Airtel to ₹2,220 from ₹2,300 while maintaining its Buy rating, according to the update dated May 15, 2026. The revision comes amid continued investor focus on telecom tariff actions, average revenue per user (ARPU) trends, and the company’s cash flow trajectory. While the target is lower than the earlier ₹2,300 reference, the Buy stance signals that Nomura still sees upside from the prevailing market price levels cited in the same data set. The note also sits alongside other Nomura updates carried in the market over recent periods, reflecting how targets have moved with changes in assumptions and valuation multiples.

Where the stock and Street targets stand

The dataset flags a last close price of ₹1,815.75 and an average target price of ₹2,293.94. That implies a spread of +26.34% versus the average target, based on the figures provided. The same collection of updates also includes references to AIRTELPP (Bharti Airtel partly paid-up) prices around the ₹1,560-₹1,590 range at different points, indicating that investors track both the fully paid and partly paid line items depending on where they trade.

Nomura’s Buy view and dividend expectations

A separate snippet attributed to a post on the topic states that Nomura reiterated a Buy call on Bharti Airtel with a target price of ₹2,300 per share, and linked the thesis to a possible transition to a more progressive dividend policy as free cash flow strengthens. The mention is notable because dividends are typically discussed in the context of improving free cash generation and reduced capital intensity. Even though the latest target in the May 2026 update is ₹2,220, the dividend angle remains part of the broader narrative around cash flows and capital allocation.

A timeline of Nomura target revisions referenced

The provided material includes multiple Nomura target changes at different points, showing how broker views evolved as business estimates and valuation frameworks shifted.

• One update states Nomura raised its target by 23% to ₹2,280 from ₹1,850, citing increased estimates for India wireless and homes businesses.
• Another headline indicates a move to ₹2,300 from ₹2,280, while keeping the Buy stance.
• The most recent item in the prompt is the May 15, 2026 adjustment to ₹2,220 from ₹2,300, again with Buy maintained.

These changes appear tied to a mix of fundamentals (wireless and home broadband performance) and valuation assumptions.

Valuation logic mentioned: EV to EBITDA multiple

In the update that discussed the target being lifted to ₹2,280 from ₹1,850, Nomura attributed part of the rerating to a higher target EV to EBITDA multiple. The multiple referenced was 12x versus 11x earlier for the India wireless and homes businesses. This matters because, for telecom operators, EV to EBITDA is a common yardstick to compare operating cash generation across companies that may carry different debt profiles.

ARPU estimates and tariff actions in the backdrop

The dataset also contains ARPU estimates and tariff context that form part of the wider bull case brokers have highlighted for Bharti Airtel. One excerpt states a view of FY25 ARPU at ₹238, up 16% year-on-year, and notes revised FY26 and FY27 ARPU estimates of ₹269 and ₹304, respectively. Separately, the prompt references broad tariff increases affecting prepaid and postpaid plans, with hikes ranging from 13% to 21% effective July 03, 2024.

These datapoints are often linked by analysts to revenue growth and margin stability, especially in a market where pricing discipline plays a large role in profitability.

Partly paid-up line: price moves and ratios cited

The prompt includes specific information for Bharti Airtel Ltd partly paid-up. As of Nov 12, 2025 at 01:24 PM, the closing price is listed as ₹1,567.95. Over the past six months from that point, the partly paid-up share price is said to have increased 12.77%, and over the last one year it is said to have increased 35.97%. The same snapshot lists a PE ratio of 0.00 and a PB ratio of 11.54, and also shows the market cap as ₹0.00 Cr in that entry.

A separate line states the share price of AIRTELPP as on Feb 5, 2026 was ₹1,586.

Peers and positioning mentioned

The prompt lists Tata Communications, Tata Tele Maharashtra, Vodafone Idea, and Tejas Networks among the top peers referenced. It also includes a qualitative line that the stock “seems to be overvalued vs the market average” under a valuation header, without providing a supporting valuation metric beyond the partly paid-up PB ratio and the EV to EBITDA assumptions cited elsewhere.

Market impact: what the numbers imply

The immediate market implication of the May 2026 target cut is that Nomura’s upside case is being moderated relative to the earlier ₹2,300 benchmark. However, the spread between the last close price of ₹1,815.75 and the average target price of ₹2,293.94 remains sizeable at +26.34%, based on the data shown. Other broker commentary embedded in the material also points to the tariff and ARPU path as key drivers, with ARPU estimates of ₹238 (FY25), ₹269 (FY26) and ₹304 (FY27) cited in one section.

The prompt also mentions that Bharti Airtel’s premium over Jio is seen at 17-20%, down from 25-27% previously, suggesting the market is tracking relative pricing and plan positioning between the two large operators.

Key facts table

Why this matters for investors

The cluster of updates highlights that broker targets on Bharti Airtel can move meaningfully as assumptions on ARPU, tariffs, and valuation multiples change. The mention of a potential shift toward a progressive dividend policy, tied to strengthening free cash flow, also signals that capital allocation is becoming a bigger part of the investment debate. At the same time, the prompt’s own mix of targets across periods shows that investors should track the date and context of each brokerage note rather than treat targets as static.

Conclusion

Nomura’s May 2026 adjustment to ₹2,220 from ₹2,300 keeps Bharti Airtel in Buy territory, while the dataset continues to reflect an overall upside implied by the average target price versus the last close. Further market attention is likely to stay on tariff execution, ARPU outcomes versus the cited estimates, and any concrete moves toward the dividend-policy transition discussed in the broker commentary.