Big Comeback For Reliance Industries? Top Analysts Say YES!

Think Reliance Industries stock is done? The experts disagree—big time. RIL is down 20% from its highs, but top analysts aren’t backing off. In fact, they’re doubling down! Morgan Stanley, Kotak Institutional Equities, Jefferies and Macquarie have all upgraded the stock in the last few days, with price targets soaring up to ₹1,606 per share.

Morgan Stanley’s Take

Morgan Stanley has an "overweight" rating on the stock with a price target of ₹1,606 per share. The brokerage house believes that the earnings of the Mukesh Ambani-led conglomerate has seen multiple legs of recovery since the last quarter after nine months of challenges.

Jefferies Maintains 'Buy' rating

Jefferies has maintained its 'Buy' rating on RIL, setting a target price of ₹1,600. The firm attributed RIL's underperformance against the Nifty to a slowdown in the retail segment and weaker earnings in O2C. It also noted that market pessimism appears excessive, as the current market capitalisation implies a $48 billion enterprise value for Retail, significantly lower than the $106 billion valuation from its last funding round.

Kotak Institutional Equities’ TakeKotak Institutional Equities upgraded Reliance Industries to 'Buy' from 'Add,' citing the recent stock correction. It set a target price of ₹1,400, implying an 18% upside. Kotak expects an 11% earnings CAGR over FY24-27. It sees telecom IPO news and a potential tariff hike as key catalysts.

Macquarie’s Take On RIL Shares

Macquarie expects Reliance to boost its earnings CAGR to 15-16% over FY25-27. The brokerage raised its target price from ₹1,300 to ₹1,500, indicating a 24% upside from the previous close (as of the date of publishing the report).