Shares of Indus Towers Ltd. will be in focus during Friday’s trading session after global brokerage firm CLSA added the stock to its “high-conviction outperformance” list.

CLSA maintained its “outperform” rating on Indus Towers, with a price target of ₹575 per share. Notably, this is the first time Indus Towers has received a ₹575 target, making it the highest among analysts covering the telecom company.

The foreign brokerage wrote in its note that the company recently received an additional ₹1,900 crore payment from Vodafone Idea for past dues. Overdues from Vodafone Idea have decreased by over 70% from their peak levels.

“Lower overdues are adding confidence to planned 4G/5G network investments,” CLSA said.
Indus Towers offers a 10% compound annual growth rate (CAGR) in earnings before interest, taxes, depreciation, and amortization (EBITDA), strong cash flows, a free cash flow (FCF) yield of 7%, and a 23% return on capital employed (RoCE) by fiscal year 2027, according to the brokerage.

This week, UBS also upgraded Indus Towers to a “Buy” rating, with a price target of ₹425 per share. UBS said that Indus Towers is well-positioned to deliver positive surprises in dividend payouts, as its growth driver shifts from Airtel’s tower rollouts to Vodafone Idea’s network expansion, which entails minimal incremental capex.

Additionally, UBS mentioned that continued payments from Vodafone Idea to clear past dues should enable Indus Towers to distribute meaningful dividends in the future.

Separately, CLSA had earlier added Zomato and ONGC shares to its “high-conviction outperformance” list, with price targets of ₹400 and ₹360, respectively.

Of the 24 analysts covering Indus Towers, 13 have a “Buy” rating, five recommend “Sell,” and six have a “Neutral” stance on the stock.

Shares of Indus Towers Ltd. settled 0.77% lower on Thursday at ₹354.50. The stock is up 3% so far in 2025 and has risen 68% over the past 12 months.