IndiGo Stock Gains 3% as Brokerages Maintain 'Buy' Ratings Following CEO Departure

IndiGo Stock Rises Despite CEO Resignation

InterGlobe Aviation, the operator of IndiGo, saw its shares rise as much as 3% in early trade on Wednesday. The stock was trading at Rs 4,503, up 2.8% in early morning trade, following a 3.4% gain in the previous session.

Brokerages HSBC and Jefferies maintained ‘buy’ ratings on the stock despite the leadership change, indicating that they do not expect any strategic shift at the airline. HSBC has a buy call on IndiGo stock with a target price of Rs 5,860 per share, while Jefferies retained its buy rating with a target price of Rs 6,140 per share.

The brokerages expect the airline to remain focused on improving operational efficiency and do not anticipate any changes in the company's strategic direction. Jefferies highlighted that Elbers had played a key role in expanding IndiGo's international operations and initiating wide-body aircraft plans.

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IndiGo has faced significant operational challenges in recent times, including a major disruption in December following stricter flight duty time limitation rules and crew scheduling issues. The airline's net profit for Q3 FY26 fell 78% year on year to Rs 550 crore, while revenue from operations declined 6% to Rs 23,472 crore.

Despite the volatility in recent sessions, IndiGo remains India's largest airline by market share, with a market capitalisation of around Rs 1.7 lakh crore.