Luggage piles up at Indira Gandhi International Airport Terminal- 1 amid IndiGo flight cancellations, lead to logistical chaos and stranded passenger luggage across the country, in New Delhi
Shares of InterGlobe Aviation — parent of India’s largest carrier IndiGo — slumped nearly 7 per cent early today, extending a fall that has now stretched over multiple sessions. The drop comes in the wake of a show-cause notice issued by the DGCA, triggered by widespread flight cancellations and operational disruptions that left thousands of passengers stranded.
Investors are wrestling with growing uncertainty over the airline’s near-term outlook. The regulatory notice underscores mounting pressure on IndiGo’s leadership to explain roster failures and crew-management lapses under revised pilot duty-time rules.
Brokerage and analyst commentary captures the tension between these near-term concerns and longer-term structural strengths. Some firms have already trimmed price targets, warning of further downside if the cancellations and regulatory fallout persist. They point to shrinking margins driven by potential compensation payouts, refund obligations and increased crew-hiring costs. Other analysts, however, argue that IndiGo’s dominant domestic market share, large fleet size and strong brand still make it a viable long-term play, especially if operations normalise quickly and passenger demand remains resilient.
The management has begun scrambling to contain the crisis. Refunds are being processed, cancelled flights are being re-scheduled where possible, and an internal “crisis-management group” has reportedly been activated to restore confidence among travellers and stakeholders.
For now, the stock remains under pressure, but with eyes fixed on how fast IndiGo can stabilise operations and reassure both regulators and the travelling public.
At 10.23 am, the stock traded 4 per cent lower at ₹5,118, hitting an intraday low of ₹5,001 on the NSE. The stock closed at ₹5,370.50 on Friday.
Published on December 8, 2025
