Jefferies has maintained its buy rating on Reliance Industries with a target price of ₹1,830 per share, highlighting the company’s strong earnings recovery and multiple medium-term catalysts. The brokerage noted that Reliance outperformed the Nifty by 19% in CY25, driven by the restoration of double-digit consolidated EBITDA growth after a relatively weak FY25.
According to Jefferies, the recovery in earnings momentum has been broad-based, with the operating environment stabilising across key segments. The brokerage believes the next phase of upside will be driven by a combination of tariff hikes in telecom, a potential listing of Jio by mid-CY26, and a return to mid-teens growth in the retail business in FY27.
Jefferies projects 13% consolidated EBITDA growth in FY27, with Jio expected to do the heavy lifting, supported by improving average revenue per user (ARPU) and operating leverage. The brokerage also pointed to FMCG, new energy initiatives and data centre partnerships as additional optionalities that could contribute to earnings and valuation upside over the medium term.
With earnings drag from weaker refining and petrochemicals largely behind, Jefferies believes Reliance’s risk-reward remains favourable, supported by improving growth visibility across its consumer-facing and digital businesses.
Disclaimer: The views and recommendations above are those of Jefferies. Business Upturn does not endorse them. Please consult a financial advisor before making investment decisions.