InterGlobe Aviation Ltd. share price target

Improved vaccination drive and decline in infections led to higher passenger load factor. Replacement of old aircraft with fuel efficient fleet is at an accelerated pace, which is expected to be completed by FY24, will bring down operating cost. Passenger traffic growth to pick-up at higher pace starting from FY23...

INDIGO reported a beat on our estimates primarily driven by higher-thanestimated yield (at INR4.4), with RPK being 7% above our estimates. ASK was only 5% lower to pre-COVID levels (of 3QFY20). The Board has appointed Mr. Rahul Bhatia as the Managing Director of the company for five years. Management highlighted that the 3QFY22 capacity reached 88% of preCOVID level with the same being 97% during Dec'21. International capacity...

We interacted with IndiGo wherein they articulated their long term plan of responsibly maximizing unit revenues with sustained focus on reducing unit costs. Post pandemic, IndiGo continues to pursue & develop multiple revenue streams in the form of 1) fortifying domestic network aided by regional expansion (Fleet of 30+ ATR) 2) widening international network with...

Improved vaccination drive, decline in infections and relaxation of capacity cap to 85% from 65% led to higher passenger load factor. We expect passenger traffic growth to pick-up at higher pace given lower risk of Covid infections, acceleration in vaccination, festive season and recovery in tourism & corporate travel. Replacement of old aircrafts with 15% more fuel efficient fleets is expected to accelerate further, will lead to lower operating cost. We remain positive on the stock in the long term, given expansion of capacities, penetration into Tier 2-3 cities, focus on route optimization and likely market share gains post Covid era....