RIL stock: Re-ratings & earnings upgrades expected in 2026, here's why
The stock logged healthy gains of 28% in a year powered by RIL's strong earnings across all major segments.
- Jan 2, 2026,
- Updated Jan 2, 2026 1:05 PM IST
Shares of Mukesh Ambani-led Reliance Industries Ltd (RIL) are expected to under go re-rating and earnings upgrades through each quarter of 2026, according to brokerage Morgan Stanley. The global brokerage has reiterated its 'Overweight' rating and maintained a price target of Rs 1,847 on the RIL stock. The bullish stance comes at a time when the RIL stock is trading near its record high. The stock hit a high of Rs 1,592.90 on January 1, 2026.
The stock logged healthy gains of 28% in a year powered by RIL's strong earnings across all major segments. Jio clocked strong subscriber growth and anticipated tariff hikes, while the retail business experienced significant expansion and high-teens EBITDA growth. The oil-to-chemicals (O2C) business also recorded improved refining margins, recovering from a subdued performance in 2024.
Expectations of a Initial Public Offering (IPO) for the high-growth Jio Platforms business also boosted sentiment for the large cap stock on Dalal Street in 2025.
Meanwhile, Morgan Stanley noted that Reliance Industries is in its fourth monetisation cycle, having almost $80 billion in investments, and anticipates significant growth in 2026 supported by key quarterly catalysts.
Morgan Stanley noted that, similar to previous cycles in 2017 and 2021, the stock might experience multiple and return growth, supported by drivers in each quarter of 2026. The brokerage pointed out a number of short-term and medium-term catalysts, suggesting that 2026 could be a pivotal year in Reliance's monetisation path.
In the current session, RIL shares rose nearly a per cent to Rs 1588.40. Market cap of the Mukesh Ambani-led conglomerate stood at Rs 21.50 lakh crore mark. RIL stock has gained 33% in three years and 73.56% in five years.
Shares of Mukesh Ambani-led Reliance Industries Ltd (RIL) are expected to under go re-rating and earnings upgrades through each quarter of 2026, according to brokerage Morgan Stanley. The global brokerage has reiterated its 'Overweight' rating and maintained a price target of Rs 1,847 on the RIL stock. The bullish stance comes at a time when the RIL stock is trading near its record high. The stock hit a high of Rs 1,592.90 on January 1, 2026.
The stock logged healthy gains of 28% in a year powered by RIL's strong earnings across all major segments. Jio clocked strong subscriber growth and anticipated tariff hikes, while the retail business experienced significant expansion and high-teens EBITDA growth. The oil-to-chemicals (O2C) business also recorded improved refining margins, recovering from a subdued performance in 2024.
Expectations of a Initial Public Offering (IPO) for the high-growth Jio Platforms business also boosted sentiment for the large cap stock on Dalal Street in 2025.
Meanwhile, Morgan Stanley noted that Reliance Industries is in its fourth monetisation cycle, having almost $80 billion in investments, and anticipates significant growth in 2026 supported by key quarterly catalysts.
Morgan Stanley noted that, similar to previous cycles in 2017 and 2021, the stock might experience multiple and return growth, supported by drivers in each quarter of 2026. The brokerage pointed out a number of short-term and medium-term catalysts, suggesting that 2026 could be a pivotal year in Reliance's monetisation path.
In the current session, RIL shares rose nearly a per cent to Rs 1588.40. Market cap of the Mukesh Ambani-led conglomerate stood at Rs 21.50 lakh crore mark. RIL stock has gained 33% in three years and 73.56% in five years.