How Motilal Oswal Sees Reliance Industries: BUY with ₹1,700 Target
Company Note: Reliance Industries Limited (RIL) is India’s largest private sector conglomerate with diversified operations across refining, petrochemicals, retail, telecommunications, and digital services. RIL is also a pioneer in digital platforms and aims to expand its growth through Jio Platforms and retail expansion.
Motilal Oswal Brokerage Report Highlights
- Reiterate BUY rating with unchanged target price of ₹1,700/sh
- Chairman reiterated ambition to double EBITDA by 2027 (vs. 2022)
- IPO of Jio Platforms targeted for 1HCY26
- Retail revenue expected to grow at 20%+ CAGR over the next three years
- AI and FMCG identified as new growth drivers
- RJio expected to remain the biggest growth driver with 19% EBITDA CAGR FY25-28
- Supportive factors for RJio: one more tariff hike, market share gains in wireless, ramp-up of Homes & Enterprise offerings
- Earnings recovery expected in O2C segment driven by improved refining margins
- Built-in 11% consolidated EBITDA and PAT CAGR FY25-28, driven by RJio, RRVL, and O2C recovery
Investors Takeaway: RIL is expected to continue as a strong growth story across telecom and retail. Key drivers include Jio’s robust EBITDA growth, Retail expansion, and emerging AI/FMCG initiatives. Investors should consider this as a long-term growth investment while monitoring O2C margin recovery and Jio IPO developments.
Brokerage Comparison Table
| Brokerage | Rating | Target Price (₹) |
|---|---|---|
| Motilal Oswal | BUY | 1,700 |
| ICICI Direct | BUY | 1,720 |
| HDFC Securities | BUY | 1,710 |
| Axis Securities | BUY | 1,695 |
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations.
Written by Indian-Share-Tips.com, which is a SEBI Registered Advisory Services
