Reliance share price target 2022, 2023, 2024, 2025, 2030: Reliance Industries is the biggest company in India, owned by Mukesh Ambani. Reliance industries started as a textile company and evolved from being a textile company to an integrated player across energy, materials, retail, entertainment, and digital services. Reliance products and services portfolio touches almost all Indians on a daily basis.
Reliance has its brands & products in the following segments
- Refining and Marketing.
- Petroleum Retail.
- Reliance BP Mobility Limited.
- Store and Service Concepts.
- In-Store Brands.
Operating Leading Businesses of Reliance Industries
- Retail: India’s largest retailer by reach, revenue and profitability. Only Indian retailer to feature in the list of global powers of retailing.
- Digital Services: Through Jio platforms Limited(JPL), Reliance operates India’s largest telecom network.
- Media and Entertainment: One of India’s largest media houses with omni-channel presence, bringing the world to households.
- Oil to chemicals(O2C): One of the worlds most integrated oil to chemicals operations, driving India’s energy security.
- Oil and Gas E&P: Upstream portfolio consisting of deep water acreage and CBM blocks in India and shale gas in the United States of America.
Reliance Share Price Target 2022 by HDFC Securities
HDFC Securities has a buy call on Reliance Industries with a share price target of Rs.2,820. The time period given by HDFC Securities when Reliance can reach the given target price is one year.
HDFC Securities Report on Reliance Industries
The reason for a share price target of 2,820 rupees is, a recovery in O2C businesses, continued EBITDA growth in the digital business, driven by improvement in ARPU, subscriber addition, and new revenue streams, and potential for further value unlocking in the digital and retail businesses.
Oil to Chemicals segment(O2C): Revenue grew 69% YoY to INR 1,198bn, primarily due to improved realization, supported by the increase in oil prices and higher volumes. Q3 EBITDA improved by 41% YoY to INR 129bn, mainly due to better transportation fuel cracks and yield management. Crude throughput at 19.7mmt, up +18% YoY, +5% QoQ
Oil & Gas: Revenue grew 65% QoQ to INR 21bn and EBITDA improved 89% QoQ to INR 17bn, driven by sharp improvement in price realization.
Key Performance Indicators
Profit After Tax
Earnings Per share
Reliance share Price Target 2022 by Motilal Oswal
Motilal Oswal has a buy call on Reliance Industries with a share price target of Rs.2,800. The time period given by Motilal Oswal when Reliance can reach the given share price target is one year.
Motilal Oswal Report on Reliance Industries
Reliance Industries (RIL)’s 3QFY22 consolidated revenue/EBITDA was up 57%/38% YoY (in-line), and standalone EBITDA grew 60%. RJio’s EBITDA was in-line (up 17% YoY, 6% QoQ), while Retail EBITDA recovered by 24% YoY (inline).
RJio’s revenue/EBITDA growth was aided by the partial benefit of tariff hikes, which were up 3%/6% QoQ (in-line), and drove ARPUs higher by 6%. This was partly offset by a second consecutive quarter of net subscriber decline of 8.5m. The EBITDA margin improved 120bp sequentially to 49.2%.
Reliance Retail’s net revenues were up 53% YoY (4% beat) and 25% above pre-COVID levels, driving 24% YoY EBITDA growth (40% above pre-COVID levels); this was led by aggressive footprint addition.
O2C EBITDA came in 7% below estimate at INR139b (+60% YoY). EBITDA/mt stood at ~USD106 (+45% YoY, +6% QoQ) led by better refining and petrochemical margins. Production meant for sale stood at 17.6 MMT, in line.
Valuation and View
Consolidated gross debt remains largely flat at INR2,447b at end-3QFY22 (v/s INR2,559b and INR2,518b at end 2QFY22/FY21), with cash & cash equivalents at INR2,418b – with net debt at INR28.6b (as per the company).
Reliance Jio should see the benefit of tariff hikes accrue in the coming few quarters as we see healthy ARPU improvement. Furthermore, as Reliance Jio’s growth slows, Jio Platforms Ltd (its holding company) is keen to replicate the success of Wireless.
Reliance share Price Target 2023
Reliance has a lot of growth opportunities in the Retail sector. Reliance Industries has the potential to be a giant in the retail sector and take over amazon on grocery delivery business, which has a huge potential in the future.
Reliance Retail opened 1,456 new stores taking the total store count to over 12,700 stores across the country. Reliance Retail business operations ensured support for the entire retail ecosystem including consumers, farmers, merchants, small and medium-scale manufacturers, and supply-chain service providers. The business generated 65,000 new jobs providing vital support to the community.
Reliance Retail’s New Commerce initiative, JioMart, continues to grow in scale with more traffic, active users, and orders. Rapid scale-up of digital commerce solutions, including JioMart, compensated for curtailed store operations and lower footfalls. Digital commerce channel Ajio.com witnessed a 3x increase in business on higher orders and improvement across all key operating metrics.
By considering all these opportunities Reliance has, Reliance share price target 2023 is 4,200 and the second target is 4,450.
|Reliance share price target 2023|
|Target 1 – 4,200|
|Target 2 – 4,450|
Retail Indian Industry Overview
India’s retail market is estimated at US$822 billion in FY 2019-20 and is expected to grow at a CAGR of 10% over the next five years to reach US$1,315 billion by FY 2024-25. The penetration of the organized retail market is estimated at 11% in FY 2019-20 and is expected to grow to 18% by FY 2024-25.
The organized retail market is estimated at US$88 billion in FY 2019-20 and is expected to grow at a CAGR of 19% over the next five years to reach US$231 billion by FY 2024-25. The unorganized retail market is poised to grow to over US$1 trillion over this period, making it amongst the most attractive consumer sector opportunities across the world.
Reliance Share Price Target 2025
Along with Retail business opportunities, in long term Reliance has a huge opportunity in digital services as India is moving towards digital India. Reliance can benefit a lot from it. Let’s take a look at Reliance digital services and how Reliance can benefit from the Digital India theme.
Reliance Digital Services
With its next-generation all-IP data network, Jio continued to revolutionize digital adoption in India at an unprecedented rate. Jio’s high-speed connectivity services enabled millions of Indians to work from home, study from home, shop from home. It also enabled the delivery of food and wellness at home, medical consultation at home, and above all kept families connected through the pandemic.
Higher acceptance of digital services reflects in 27% y-o-y growth in Jio’s total data traffic to 1,668 crore GB in 4Q FY 2021. Jio Platforms is building a massive digital ecosystem for a billion Indians by providing world-class connectivity and digital solutions across business verticals and customer lifecycle. Jio launched and scaled up to multiple digital platforms like JioMart, JioMeet, JioHaptik, and JioUPI during the year.
5th Strongest Brand Globally
Jio’s impact on internet usage in India has been recognized by Brand Finance, who recognized Jio as the 5th strongest brand globally, terming its impact on the market as the ‘Jio Effect’. Reliance industries are also excited about the development of a new generation cloud-native 5G RAN technology that is truly open, and software-defined. Qualcomm and Jio successfully tested 5G solutions in India, achieving the 1 Gbps milestone on Jio 5G solution. Jio’s innovation has spearheaded the transformation of India into one of the world’s largest consumers of mobile broadband services.
By considering all these opportunities Reliance has in both the Retail and Digital services segments. We are giving Reliance a share price target of 6,100 for 2025 and a second share price target of 6,250.
|Reliance share price target 2025|
|Rs 6,100 – 6,250|
Reliance Share Price Target 2030
Reliance is building India’s digital lifeline for today and tomorrow. Digital connectivity has become a gamechanger for a nation of 1.3 billion.
Today, India is one of the fastest-growing digital economies in the world, and we are building the most advanced platforms that connect everything, everyone, everywhere. When the raging pandemic forced the populace indoors, the Jio platforms became a lifeline for millions of Indians trying to adapt to the new reality. Jio is the first telecom company in India and second in the world to cross 400 million subscribers. Achieved 1 Gbps speed milestone on the Jio 5GNR solution.
Jio Platforms is one of the only two Indian companies featuring in the 2021 TIME100 Most Influential Companies list.
Partnering With the Best in The World
To facilitate this faster-than-expected transition, Reliance Industries are bringing future-ready technologies by partnering with some of the most Innovative institutions globally. Reliance is combining its execution strength and digital ecosystem with partners’ technology expertise to create world-class, futuristic solutions at scale.
- SkyTran: Reliance has acquired majority of stake in SkyTran
Considering all these factors and the potential Reliance has in the future, we are giving Reliance share price target 2030 as 9,250 and a second share price target of 9,650.
|Reliance share price target 2030|
|Rs 9,250 – 9,650|
Reliance Share Price Target 2022, 2023, 2024, 2025, 2030: Future Outlook
The proliferation of 4G networks in India since Jio’s launch across urban and rural India has resulted in over 700 million subscribers for network operators, including Jio. The deeper rollout of 4G-LTE networks has meant increased mobile internet penetration in rural areas to 35% versus 13% at the time of Jio’s launch. Increasing network coverage, affordable tariffs, improving device ecosystem and affordability, and new use cases should continue the transition of over 300 million 2G feature phone users to 4G over the next 12-18 months.
JioMart is an Indian online grocery delivery service launched in May 2020 across 200 cities and towns. Customers can access JioMart through the website, native apps on Android and iOS, with full integration into MyJio. The platform has expanded into selling apparel and electronics in some parts of the country. JioMart has scaled up rapidly, with more traffic, active users, and orders. Kirana partnerships are being expanded, reaching over 33 cities by the end of March 2021.
Entertainment Industry Overview
The onset of the pandemic and consequent lockdowns significantly impacted the economy in general, and the Media & Entertainment (M&E) sector in particular, in the first half of FY 2020-21. This led to a sharp fall in advertising spending even as viewership soared during the lockdown, as weak economic activity and lack of fresh content during the first quarter kept advertisers at bay. The second half fared much better on the back of relaxation in lockdowns and a higher advertiser appetite for the festive season.
Frequently Asked Questions
What is the target for Reliance share?
HDFC Securities has given Reliance industries a share price target of Rs.2,820 and the time period given is one year. Motilal Oswal has given a share price target of Rs.2,800 and the time period given is one year.
Is RIL a good buy now?
Yes, Reliance is a good buy now. Reliance has a lot of potential to grow in the future, in the Retail and Digital services business. Reliance Retail opened 1,456 new stores taking the total store count to over 12,700 stores across the country. With its next-generation all-IP data network, Jio continued to revolutionize digital adoption in India at an unprecedented rate. Jio’s high-speed connectivity services enabled millions of Indians to work from home, study from home, shop from home.
What is the future of Reliance share?
Reliance share has a lot of potential to grow in the future. Reliance is stepping up its game in the retail and digital sectors. Reliance retail JioMart is growing at a very fast pace and will overtake the grocery delivery business, JioMart has an edge over Amazon in the grocery delivery business and will continue to dominate even in the future.
Is Reliance good for long term investment?
Reliance is the biggest company in India and a blue-chip stock. You can blindly invest in Reliance for long-term investment. Reliance is a very strong company in terms of fundamentals and financials and constantly making investments in various businesses to scale up its business and enter into new segments. Recently Reliance is also entering into the battery manufacturing segment by acquiring various companies.
What will be the price of Reliance share in 2025?
By considering all the opportunities Reliance had in both the Retail and Digital services segments. We are giving Reliance a share price target of 6,100 for 2025 and a second share price target of 6,250.