Jefferies has reiterated its Buy rating on Reliance Industries (RIL) and maintained a target price of ₹1,726, implying an upside of around 17% from the current market price of ₹1,476.
According to the brokerage, RIL’s consolidated EBITDA for the June quarter came in 3% below Jefferies’ estimates, with the Oil-to-Chemicals (O2C) and Retail segments missing projections by 5% and 4% respectively. The core retail business posted an 8% year-on-year growth, impacted by a slowdown in electronics sales due to the early monsoon and slower space addition.
In contrast, the telecom arm Jio delivered a solid performance, with subscriber growth, a broadband push, and improved margins contributing to gains. The brokerage noted that while the O2C segment was impacted by a refinery shutdown, the broader refining outlook remains constructive.
Looking ahead, Jefferies said investor focus will now shift to the upcoming Annual General Meeting (AGM), where there is anticipation around a possible listing of Jio, potentially preceded by a tariff hike. The brokerage is projecting an 11% EBITDA growth for FY26E.
Disclaimer: The brokerage view is based on publicly available research and does not constitute investment advice. Please consult a certified financial advisor before making any investment decisions.
