RIL stock jumps 10% in 1 month, nears record high. Should you buy or hold?

Brokerages maintain 'Buy' rating as analysts believe Reliance Industries is well-positioned to benefit from rising data demand, and an increase in telecom tariffs plus retail business growth.

Share price of Reliance Industries (RIL) today

 

Shares of Reliance Industries hit a four-month high of ₹1,513.3, gaining 1 per cent on the BSE in Wednesday’s intra-day trade. The stock price of the country’s most-valued company in terms of market capitalisation was quoting close to its 52-week high level of ₹1,551 touched on July 9, 2025. It had hit a record high of ₹1,608.95 on July 8, 2024.

 

In the past one month, RIL stock has outperformed the market by surging 10 per cent, as compared to 2.3 per cent rise in the BSE Sensex.

What’s driving RIL stock price?

 

The oil to chemicals (O2C) business of RIL has shown a strong rebound in the first six months of fiscal 2026 because of favourable margins on domestic fuel retail and improvements in transportation fuel cracks as well as polypropylene (PP) and polyvinyl chloride (PVC) deltas, which translated into a healthy growth.

 

 

RIL reported healthy year-on-year (YoY) growth of 15 per cent in operating profits in the first six months of fiscal 2026 even as revenue grew by 8 per cent for the same comparative period. Digital services continues to grow on account of improvement in average revenue per user (ARPU) and strong subscriber growth momentum across mobility and homes, while growth in retail segment will continue on the back of store expansions and cost efficiency.  ALSO READ | Reliance, Titan, 2 others among Goldman's top stock picks; what charts say?

 

  The consolidated earnings before interest, tax, depreciation, and amortisation (EBITDA) stood at ₹99,467 crore for the six months ended September 2025 as compared to ₹86,682 crore in the corresponding period of the previous fiscal.

 

The operating profitability in the exploration and production (E&P) segment is expected to moderate in fiscal 2026 given softening crude oil prices, however, should continue to be supported by stable gas prices, according to Crisil Ratings. While, the rising data usage should continue to drive ARPU in the near term, thereby boosting further growth in revenue as well as operating profit, the rating agency said.

 

Analysts at JM Financial Institutional Securities reiterated 'BUY' (unchanged target price of ₹1,700) due to comfortable valuations after the recent weakness, and as RIL’s industry leading capabilities across businesses is likely to drive robust 15-20 per cent EPS CAGR over the next 3-5 years, particularly driven by both consumer businesses, the brokerage firm said post Q2 earnings.

 

RIL’s guidance on keeping reported net debt to EBITDA below 1x (0.6x at end-Q2FY26) also gives comfort. Moreover, Jio’s ARPU expected to rise at ~13 per cent CAGR over FY25-28 with ARPU being on a structural uptrend given the industry structure, future investment needs, and the need to avoid a duopoly market, analysts said.  ALSO READ | Godrej Industries shares fall 3% as Q2 profit dips; check details here 

Over the last decade, RIL has successfully incubated businesses of the future, such as digital services and retail, and has transformed itself from being a legacy O&G business. In telecom, RIL is the industry leader, and has made significantly larger investments in 5G than its peers, according to analysts at BNP Paribas India.

 

The brokerage firm thinks RIL is well-positioned to benefit from rising data demand in India and an increase in telecom tariffs. Its retail business is industry- leading across grocery, fashion and consumer electronics. The upstream O&G business had a significant turnaround, with the start of new production from KG-D6 gas fields. Analysts think RIL's new green-energy businesses (solar, batteries, fuel cells and hydrogen) look promising, though it awaits more visibility. The brokerage firm has an ‘outperform’ rating on RIL with a target price of ₹1,785 per share.