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Reliance Hits 16-Month High as Jefferies Lifts Target, Keeps Buy

Jefferies points to broad-based growth across businesses.

Overview

  • Jefferies raised its 12‑month target on Reliance Industries to Rs 1,785 from Rs 1,780 while reiterating a Buy rating.
  • Shares climbed to a 16‑month high following the call, with the brokerage noting the stock still trades below its long‑term mean EV/EBITDA.
  • All three core segments delivered double‑digit growth in FY26 to date, underpinning Jefferies’ forecast for mid‑teens revenue growth by FY27.
  • Jio Mart daily orders rose about 200% after an accelerated dark‑store rollout, and festive demand is expected to sustain Reliance Retail’s double‑digit quarterly growth.
  • Reliance’s FMCG arm has grown roughly 100% year‑on‑year for six straight quarters to a ~$2.4 billion run‑rate, while the oil‑to‑chemical business is growing about 14% on supply tightness; Jefferies also flags potential value discovery tied to a prospective retail demerger in FY27–FY28.