Picture Credits: IndiGo
Gurugram, INDIA: InterGlobe Aviation Ltd., the parent company of IndiGo Airlines, briefly claimed the title of the world’s most valuable airline on April 9, 2025, as its market capitalization surged past U.S. – based Delta Air Lines. The Indian low-cost carrier’s market cap touched a record high of $23.45 billion during intraday trading, surpassing Delta’s valuation of $23.18 billion from the previous U.S. market close. By the end of trading, IndiGo’s market value settled slightly lower at $23.1 billion.
Despite Delta generating nearly eight times more revenue than IndiGo, the Indian airline’s robust stock performance and strategic expansion efforts have drawn heightened investor interest. IndiGo’s shares reached an all-time high of ₹5,265 before closing at ₹5,194.9, marking a 0.7% gain. Since the start of 2025, the stock has rallied 13%, significantly outperforming many global peers, while Delta has faced a 35% decline in the same period.
Dominance in the Indian Market and Global Growth Plans
IndiGo commands a dominant position in India’s domestic aviation market, holding a 64% share as of February, according to DGCA data. Its efficient low-cost model, operational reliability, and strong brand equity have been instrumental in capturing investor confidence. The airline, established in 2006 and headquartered in Gurugram, operates over 2,200 daily flights to more than 90 domestic and 40 international destinations. With a fleet of over 400 aircraft and more than 700 million passengers served to date, IndiGo has become India’s largest passenger airline.
Sabri Hazarika, Senior Research Analyst at Emkay Global, stated, “IndiGo remains a structural story, which is a play on Indian macros, like the rising middle class population, and changes in transportation preferences from railways to aircraft.”
Competitor challenges, such as those faced by SpiceJet, have further strengthened IndiGo’s market hold. IndiGo aims to expand its international capacity share from 28% in FY25 to 40% by FY30—a strategic objective that could substantially enhance its global presence.
Picture Credits: IndiGo
Financial Performance and Market Position Shifts
In terms of financials, IndiGo reported a 13.66% year-on-year increase in revenue for Q3FY25, climbing from ₹19,452 crore to ₹22,111 crore. Quarter-on-quarter revenue grew by 30.29% from ₹16,970 crore. However, net profit declined 18.54% year-on-year to ₹2,442 crore, following a prior quarter loss of ₹989 crore, indicating partial recovery.
“Even a 50% increase in airline traffic over the next five years could rapidly elevate profitability. The overhang from the promoter selling is also done with, and we are now very bullish on IndiGo, with a price target of ₹6,140,” said Dharan Shah, founder of Tradonomy Research. He also noted the company’s market cap is valued at 2.5 times its sales, a favorable metric compared to domestic competitors.
Although IndiGo briefly led global airline valuations, a sharp rally in the U.S. stock market, fueled by positive sentiment following Trump’s tariff announcements caused Delta’s stock to surge over 23%, raising its market cap to $28.59 billion. As a result, IndiGo was pushed to third place at $23.28 billion, behind Ryanair.
As of April 11, IndiGo’s market capitalization stands at ₹2 lakh crore (approximately $23.28 billion). The current top five airlines by market capitalization globally are Delta Air Lines (U.S.), Ryanair (Ireland), InterGlobe Aviation (India), United Airlines Holdings(U.S.), and Southwest Airlines(U.S.).
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