India's IndiGo edges up as Nomura notes limited risk from upcoming airfare rules

Interglobe Aviation

19/10/2026 08:26

** Shares of InterGlobe Aviation INGL.NS, operator of India's largest airline IndiGo up 0.12% at 4,691.70 rupees
** Brokerage Nomura ("buy", 6,000 rupees PT) expects limited impact on co from upcoming Indian airfare rules
** Rules to focus on greater oversight and transparency of ticket prices and additional charges, rather than direct government intervention in pricing, says Nomura
** Adds, government expected to notify rules within two weeks; uncertainty persists over whether they will include fare caps
** Estimates 5% y/y decline in passenger yields in FY28 as tighter oversight could reduce co's EBITDA by about 10%, though higher passenger load factors could partly offset impact
** Flags prolonged high fuel prices, lower passenger load factors and potential airfare caps as key downside risks
** INGL rated "buy" on avg by 23 analysts, median PT at 5,800 rupees--LSEG-compiled data
** YTD, INGL down 7.3%

(Reporting by Surbhi Misra in Bengaluru)
((Surbhi.Misra@thomsonreuters.com |  X: https://twitter.com/SurbhiMisra_  |;))