Reliance Shares Jump Nearly 8% in Two Days on Strong Q4 Results; Brokerages Turn Bullish

Shares of Reliance Industries Limited (RIL) continued their upward momentum for a second straight session on Tuesday, rising over 2 per cent intraday following the company’s robust March quarter (Q4FY25) earnings. The stock opened at Rs 1,370.35 and climbed as much as 3 per cent to touch Rs 1,410.90 before closing at Rs 1,400.30, marking a 2.32 per cent gain from the previous close of Rs 1,368.50.

This follows a 5.3 per cent surge in the previous trading session on the BSE, taking the total two-day gain to nearly 8 per cent. The rally comes after Reliance, India’s most valuable company by market capitalisation, posted better-than-expected consolidated profit of Rs 22,434 crore for the fourth quarter — significantly higher than the Rs 18,471.4 crore estimated by analysts surveyed by Bloomberg.

The growth, a 6 per cent year-on-year rise in profit, was primarily driven by a rebound in the retail segment and improved performance in the telecom business. However, the company’s core oil-to-chemicals (O2C) division continued to face headwinds.

In a further development, Reliance’s board approved a fundraising plan to raise up to Rs 25,000 crore through the issuance of listed, secured or unsecured, redeemable non-convertible debentures (NCDs) via private placement in one or more tranches.

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The strong quarterly performance prompted several domestic and international brokerage firms to reiterate bullish views on the stock. Nomura maintained its "buy" rating and raised its target price to Rs 1,650, citing strong multi-segment growth and identifying three key triggers for near-term gains — expansion of the new energy business, expected telecom tariff hikes, and the anticipated IPO or listing of Jio.

JP Morgan and Morgan Stanley both upheld their "overweight" ratings, assigning target prices of Rs 1,530 and Rs 1,606, respectively. Macquarie also retained its “outperform” rating with a price target of Rs 1,500.

Among Indian brokerages, Motilal Oswal Financial Services reaffirmed its "buy" call with a target of Rs 1,515. Kotak Securities also maintained a "buy" rating and revised the stock’s fair value to Rs 1,520 from Rs 1,400, noting that major 5G-related capital expenditure is largely complete.
“Retail performance continues to improve, and with the 5G rollout nearly done, capex is expected to stabilise. Any concrete announcements regarding Jio's IPO or upcoming tariff hikes could act as significant catalysts,” Kotak Securities noted.