Systematix has upgraded its rating on Reliance Industries Limited (RIL) to Buy Hold, with a revised target price of Rs 3,145, up from Rs 3,050, implying a 15% upside from the current market price of Rs 2,745.50. The brokerage noted that weaker performance in the Oil to Chemicals (O2C) and Retail segments dragged down the company’s EBITDA.
Systematix highlighted that RIL’s retail business is experiencing a downward trend, driven by slower net addition of stores and reduced contribution from digital and new commerce. Despite this, the brokerage expects a revival in both the O2C and Retail segments in the second half of FY25.
In the digital services segment, Systematix expects ARPU (Average Revenue Per User) to continue rising over the next 2-3 quarters, providing some support to the company’s growth.
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