RIL shares gain 30% from 52-week low, trading at eight-month high; where is the Mukesh Ambani stock headed?

Shares of Reliance Industries Ltd (RIL) are trading at their eight-month high, rising 30% from their 52-week low. RIL shares closed at Rs 1,448.75 on Wednesday, a level which the D-Street heavyweight approached on October 1 last year. It closed at Rs 1464.90 in that session. The stock fell to a 52-week low of Rs 1115.55 on April 7, 2025. With 30% gains in two months, the large cap stock is steadily approaching its all-time high of Rs 1608.95 reached on July 8 last year.

In the previous session, market cap of the firm stood at Rs 19.60 lakh crore.

RIL stock has lost 0.55% in a year and gained 13.35% in six months. The stock has a beta of 1.12, indicating high volatility in a year.

In terms of technicals, the relative strength index (RSI) of RIL stock stands at 61.5, signaling it's trading neither in the oversold nor in the overbought zone. RIL shares are trading higehr than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day and 200 day moving averages.

Brokerage Jefferies has a price target of Rs 1650 on the company headed by Mukesh Ambani.

Despite the stock outperforming the Nifty by 12% year-to-date (YTD), it still trades below its long-term forward EV/EBITDA average, indicating scope for re-rating, said the Japanese brokerage.

Visibility on FY26E growth is improving with continued space addition in the Retail business, a constructive tariff outlook for Jio, and a strong performance in the O2C segment in Q1, it added.

JPMorgan also is also positive on the stock. The foreign brokerage has maintained its ‘Overweight’ rating with a price target of Rs 1,568 per share.

Reliance's earnings are likely grow over the next two years and outpace the previous two. The stock has been under pressure due to earnings downgrades driven by weak commodity EBIT—a trend JPMorgan believes is unlikely to persist, considering already compressed margins. Improved profitability in the consumer business should boost the conglomerate's overall performance, added JPMorgan.

Bernstein has an ‘Outperform’ call on Reliance Industries with a target of Rs 1,640 per share. The brokerage expects “growth momentum strengthening on the back of store rationalisation nearing completion.”

Continued tariff repair and scale-up in the new energy segment are likely to boost the share price. Bernstein is upbeat on the Reliance Industries shares as net debt is flat and capex is moderating.

Reliance Industries reported a 2.4 per cent year-on-year (YoY) growth in consolidated net profit at Rs 19,407 crore for the quarter ended March 31, 2025 against Rs 18,951 crore profit in the same quarter last year.  Revenue climbed 9.91 per cent to Rs 2,64,573 crore in Q4 from Rs 2,40,715 crore in the corresponding quarter last year.