By Admin 
Reliance Industries: Goldman Sachs seems to have unwavering confidence in the country’s most valuable company Reliance Industries. Goldman Sachs has increased the 12-month target price for Reliance Industries to Rs 1835 per share, which represents an increase of about 25 percent from the current share price. Currently the price of Reliance Industries shares is Rs 1476 per share.
Goldman has increased the target price of shares just a week before the company’s December quarter (Q3FY26) results. Apart from this, the brokerage has maintained its ‘Buy’ rating on it. The brokerage says that the near-term weakness in the retail segment will be offset by better fundamentals in refining and stable momentum in telecom, which will keep Reliance’s medium-term earnings path intact.
What did the brokerage say?
In a note on January 9, the brokerage said that it has increased its target price for Reliance by updating its estimates in line with the changing trends in all the different segments of the company.
Like many other brokerage firms, Goldman expects earnings growth in the retail segment to be slow due to weak spending, base effect and festive timing, but this is likely to be offset to some extent by strong refining-based performance in the oil-to-chemicals (O2C) business. As a result, despite the ups and downs in earnings at the segment level, there is not likely to be much change in the total income.
Limited impact of fall in shares
After better performance in Sensex and Nifty compared to other rival companies in the last one year, the share price of Reliance Industries has declined by about 8 percent in the last few trading sessions. Goldman admitted that the reason for this decline is less purchase of oil from Russia due to US sanctions and the slowdown in retail growth, about which investors are worried. However, this will not have much impact on the company’s medium-term earnings.
Disclaimer: (The information provided here is being given for information only. It is important to note here that investing in the market is subject to market risks. Always consult an expert before investing money as an investor. ABPLive.com It is never advised for anyone to invest any money here.)
Also read:
Shares of this company shine with new defense order worth Rs 569 crore; Investors had fun, shares made intraday high