RIL shares hit 52-week high: Expert sees margin improvement, says this on retail, telecom biz
According to Mayuresh Joshi, Head of Equity Research at William O'Neil India, two key elements are currently driving sentiment around the stock: the halt in Russian oil intake and movements in the Singapore Gross Refining Margin (GRM).
- Nov 21, 2025,
- Updated Nov 21, 2025 4:06 PM IST
Reliance Industries Ltd (RIL) shares touched a fresh one-year high on Friday after the stock rose 0.57 per cent to an intraday peak of Rs 1,557.95. It later gave up gains and closed 0.20 per cent lower at Rs 1,545.95.
The company recently stopped importing Russian crude oil for its export-oriented refinery to comply with the European Union's restrictions on petroleum products derived from Russian supplies. According to Mayuresh Joshi, Head of Equity Research at William O'Neil India, two key elements are currently driving sentiment around the stock: the halt in Russian oil intake and movements in the Singapore Gross Refining Margin (GRM).
"Singapore GRM have actually touched $9–9.5. With Reliance's various feedstock options, it usually trades at a $4–5 premium to Singapore GRM. So, if Singapore GRM sustain in the $7–10 range, Reliance's refining margins can improve substantially as we exit Q3," Joshi told Business Today.
He added that the retail and telecom operations are also positioned for a strong performance. "The retail and telecom (Jio) businesses are expected to make a very strong comeback. As the new energy business comes on stream and utilisation levels improve, the ROEs are definitely going to strengthen as we exit FY27."
Joshi further noted that even if Singapore GRMs remain volatile, Reliance's diversified feedstock flexibility offers a cushion. "The broader rationale is that Reliance now has multiple feedstock options, which increases optionality within the O2C segment. As a result, the overall EBIT contribution from this vertical is lower than before, effectively shielding the company from volatility. That's what the market is factoring in right now when it comes to Reliance," he stated.
Reliance Industries Ltd (RIL) shares touched a fresh one-year high on Friday after the stock rose 0.57 per cent to an intraday peak of Rs 1,557.95. It later gave up gains and closed 0.20 per cent lower at Rs 1,545.95.
The company recently stopped importing Russian crude oil for its export-oriented refinery to comply with the European Union's restrictions on petroleum products derived from Russian supplies. According to Mayuresh Joshi, Head of Equity Research at William O'Neil India, two key elements are currently driving sentiment around the stock: the halt in Russian oil intake and movements in the Singapore Gross Refining Margin (GRM).
"Singapore GRM have actually touched $9–9.5. With Reliance's various feedstock options, it usually trades at a $4–5 premium to Singapore GRM. So, if Singapore GRM sustain in the $7–10 range, Reliance's refining margins can improve substantially as we exit Q3," Joshi told Business Today.
He added that the retail and telecom operations are also positioned for a strong performance. "The retail and telecom (Jio) businesses are expected to make a very strong comeback. As the new energy business comes on stream and utilisation levels improve, the ROEs are definitely going to strengthen as we exit FY27."
Joshi further noted that even if Singapore GRMs remain volatile, Reliance's diversified feedstock flexibility offers a cushion. "The broader rationale is that Reliance now has multiple feedstock options, which increases optionality within the O2C segment. As a result, the overall EBIT contribution from this vertical is lower than before, effectively shielding the company from volatility. That's what the market is factoring in right now when it comes to Reliance," he stated.