Bharti Airtel up over 5%

Bharti Airtel today opened higher at Rs.323 and is currently at Rs.330.80, up 5.5%, with an intra day high at Rs.331.95. its 52-week high stands at Rs.370.40.

The stock is up, along with other telecom stocks after the telecom recommended slashing the base price of airwaves used by GSM operators by up to 60%.  A cut in base price brings relief to Bharti Airtel and Vodafone. The 900mhz spectrum is valued for only Mumbai, Delhi Kolkata, which are up for renewal newt year, with a steep drop of 62% from March prices to Rs 6500 crore. The TRAI has unsuccessfully tried to auction spectrum twice earlier but due to the high reserve price, both the attempts failed. Finally better sense seems to have prevailed and the hope that telecom companies, apart from additional spectrum will earn better margins.