The brokerage wrote in its note that RIL’s relative valuations continue to look reasonable despite its year-to-date outperformance.
It added that the implied holding company discount on Jio and Retail, measured against Bharti and DMart’s EV/EBITDA multiples, remains elevated, as these peers have also performed well.
JPMorgan mentioned that stronger O2C margins, potential tariff hikes, and improved retail growth could act as key positives for the company.In a latest development, rating agency S&P said that Reliance Industries could be in line for a rating upgrade over the next 12 months. S&P cited the company’s growing presence in digital services as a driver of stronger earnings and a shield against volatile global macroeconomic conditions.
“We expect the share of earnings from Reliance Industries’ domestically-centred businesses such as digital services and retail to rise to about 60% by the end of fiscal 2026 (ending March 31, 2026), from about 45% in fiscal 2022. These businesses tend to have more predictable performances than the company’s cyclical oil and gas-related businesses,” S&P said in its report.
Of the 36 analysts tracking RIL, 33 have a ‘Buy’ recommendation, and one say ‘Hold’.
Shares of Reliance Industries are trading 1.17% higher on Thursday at ₹1,429.60. The stock is currently down 11% from its recent peak of ₹1,608, but has still gained 17% so far this year.
