Brokerage firm HSBC has maintained a ‘Buy’ rating on IndiGo with a price target of ₹5,860. While the company’s press release cited personal reasons for Elbers’ departure, HSBC said the decision likely follows the operational disruptions faced by the airline in December.
The brokerage added that it does not expect any major strategic changes at IndiGo, with Bhatia likely to focus on improving operational efficiency.Meanwhile, Jefferies also reiterated a ‘Buy’ rating with a price target of ₹6,140.
The brokerage said that IndiGo’s announcement of Elbers’ resignation came as a surprise, with Bhatia stepping in to assume interim charge of the airline.
During Elbers’ tenure, IndiGo expanded its international operations, initiated wide-body aircraft plans and introduced new customer propositions.
Jefferies added that leadership transitions at the airline have historically been smooth, supported by continued oversight from its founders.
Key near-term monitorables include operational stability amid volatility in the Middle East and crude prices, clarity on summer schedules, and visibility on the next CEO appointment.IndiGo’s operational crisis
Elbers’ exit comes nearly three months after the airline faced a major operational crisis that disrupted hundreds of flights and stranded at least three lakh passengers.
The aviation regulator Directorate General of Civil Aviation later imposed penalties totalling ₹22.20 crore on IndiGo and initiated additional corrective actions following the disruptions.
“We wish to inform you that the Board of Directors of the Company, at its meeting held today, i.e., March 10, 2026, inter-alia, took note of the resignation tendered by Mr. Pieter Elbers, Chief Executive Officer. He will be relieved from the service of the Company effective close of business hours on March 10, 2026. Mr. Rahul Bhatia, Managing Director, shall in the interim assume management of the affairs of the Company,” IndiGo said in the filing.
Elbers, who took charge of the airline in September 2022, had been under pressure since the December operational disruption, widely seen as the airline’s worst in recent years.
In his resignation letter to Bhatia, Elbers cited personal reasons for stepping down and requested that his notice period be waived.
“It has been both an honour and privilege to serve as IndiGo’s CEO these past years,” he wrote. “Being a part of the IndiGo family and its growth journey has been deeply rewarding.”
The December disruptions triggered a broader review of the airline’s operational systems. The Ministry of Civil Aviation and the DGCA had sharply criticised the airline, prompting IndiGo to launch an internal review of the robustness and resilience of its processes.
On Tuesday, shares of InterGlobe Aviation settled 3.46% higher at ₹4,383.50. However, the stock remains down over 14% so far in 2026.
