The energy-to-telecom giant posted a 41% surge in second-quarter net profit alongside solid double-digit revenue growth. Technical trendline reversals and over Rs 6,400 crore in delivery volumes underpinned the rally. Global brokerages Jefferies and Nomura reiterated buy recommendations following consolidated EBITDA figures that beat analyst estimates. Nomura specifically highlighted that strong execution within the oil-to-chemicals division helped earnings exceed its expectations by 9%.
Key points
Jefferies established a target price of Rs 1,710 per share based on retail recovery and e…: Jefferies established a target price of Rs 1,710 per share based on retail recovery and expected earnings upgrades.
Nomura increased its price target to Rs 1,560 after consolidated EBITDA beat its prior pr…: Nomura increased its price target to Rs 1,560 after consolidated EBITDA beat its prior projections by 9%.
The market debut of Jio Platforms helped unlock critical fundamental value to reinforce o…: The market debut of Jio Platforms helped unlock critical fundamental value to reinforce ongoing investor interest.
Sources checked by our analysis pipeline: 1
The Mukesh Ambani-led conglomerate's shares closed at Rs 1,300 apiece after its Q2 earnings impressed investors. The stock's biggest single-day gain since April 2020 added nearly Rs 2 lakh crore to Reliance Industries' market capitalisation in a single session.
This came after the oil-to-chemicals conglomerate reported a 41% year-on-year (YoY) rise in consolidated net profit to Rs 25,548 crore in the July-September quarter of FY27, compared with Rs 18,165 crore in the year-ago period. Its revenue from operations, meanwhile, increased 29% YoY to Rs 3.32 lakh crore during the quarter under review, up from Rs 2.58 lakh crore in the corresponding quarter of the previous financial year.
Also read | Reliance Industries shares skyrocket 12%, record biggest single-day jump since April 2020 as Q2 earnings spark Rs 2 lakh cr rally
Analysts have listed out four reasons why Reliance Industries shares may be heading for more gains ahead.
1) Volume breakout hints at trend reversal
Reliance Industries' 12% rally was accompanied by an extraordinary volume breakout, Apurva Sheth, Head of Market Perspectives and Research at SAMCO Securities pointed out. Explaining…
Official advance estimates indicate an ongoing economic recovery, with the city now maintaining expansion for 15 consecutive quarters. The latest growth figures substantially outperformed analyst projections, signaling stronger underlying momentum than financial markets had anticipated. This robust pace reflects continued resilience following solid output recorded throughout the earlier half of the year.
Market participants are driving upward momentum in the equity during the latest trading session. The movement reflects immediate trading activity surrounding the company as market action unfolds. Further developments and drivers remain closely monitored by industry observers.
Market participants are driving upward momentum in the equity during the latest trading session. The movement reflects immediate trading activity surrounding the company as market action unfolds. Further developments and drivers remain closely monitored by industry observers.