Reliance Industries Ltd (RIL) climbed 1.5% on Tuesday to a new 52-week high after JPMorgan reaffirmed its overweight rating and highlighted a stronger earnings trajectory heading into 2026. The stock rose to ₹1,559.60 in morning trade, extending its year-to-date gains to 27%.
JPMorgan maintained its price target of ₹1,727, signalling an upside potential of nearly 11% from current levels.
JPMorgan Turns More Optimistic on RIL
The brokerage said Reliance’s valuations remain compelling compared with peers such as D-Mart and Bharti Airtel, noting the stock still trades at roughly a 15% holding-company discount. The earnings drag from softer refining and petrochemicals performance in FY24–25 is now easing, while the recent recovery in refining margins opens room for further upgrades.
JPMorgan also pointed to several potential triggers for 2026, including a possible Jio IPO, telecom tariff hikes, key commissioning milestones in the new energy business and continued retail momentum — all of which strengthen the case for additional upside.
Broker Support Builds
Sentiment among global and domestic brokerages has turned increasingly positive. UBS reiterated its buy rating with a revised price target of ₹1,820, expecting a recovery in oil-to-chemicals earnings supported by stronger refining margins. It noted that the Singapore benchmark does not fully capture the margins realised by diesel-heavy refiners, while RIL’s diversified crude sourcing strategy could help offset geopolitical risks, including potential implications from US tariffs.
UBS expects O2C operating profit to rise to ₹34,000 crore in the second half of FY26, up from ₹29,500 crore in the first half.
Motilal Oswal also maintained its buy call and raised its target price to ₹1,765 from ₹1,700, citing long-term upside from Reliance’s emerging new energy businesses. The brokerage upgraded its valuation for the segment after factoring in the group’s battery manufacturing vertical.
It said the upcoming Jamnagar battery giga factory — planned at 40GWh capacity in early CY26 and expandable to 100GWh — will be central to Reliance’s clean-energy strategy, with meaningful contributions expected beyond FY30. Motilal Oswal highlighted RIL’s scale, execution strength and integrated clean-energy ecosystem spanning solar modules to battery technologies.
Street Stays Bullish
According to LSEG data cited by Reuters, the average analyst rating on RIL remains ‘buy’, with a median price target of ₹1,685. Reliance has outperformed the Nifty 50, which has risen 9.5% over the same period. The conglomerate’s market capitalisation has now crossed ₹21.1 lakh crore.
