Reliance Shares Jump 3% after Ambani Confirms Jio IPO Filing at AGM

Shares of Reliance Industries rallied up to 3% to ₹1,345.45 on the BSE during Monday's intra-day trade after the company's 49th annual general meeting (AGM) delivered concrete event-driven catalysts, including a planned Jio public offering.

At 09:36 am, the stock traded 2.3% higher at ₹1,339.75, rebounding from an intra-day low of ₹1,314.40. The broader BSE Sensex climbed 0.44% to 77,144.

The recent surge counters a period of market underperformance. Over the past six months, Reliance shares fell 15% compared to a 10% decline in the Sensex. In the past year, the stock dropped 8% against a 5.7% fall in the benchmark index.

Ambani Outlines Growth Vision

Chairman Mukesh Ambani announced ambitions to more than double the company's consolidated earnings before interest, taxes, depreciation, and amortisation (EBITDA) over the next five years, in remarks reported by Business Standard. He also confirmed a draft red herring prospectus (DRHP) filing and the imminent listing of Jio Platforms.

The chairman detailed a deeper expansion into manufacturing across fresh produce, apparel, and consumer electronics. He reiterated the target to achieve ₹1 trillion in gross revenue for Reliance Consumer Products (RCPL), the fast-moving consumer goods arm, by the 2030 financial year.

Ambani emphasised five major value creation pathways for the conglomerate. These include reinventing the oil-to-chemicals business, accelerating commissioning and revenue generation in new energy, and scaling Reliance Intelligence. The plan also focuses on turning the consumer products arm into India's largest fast-moving consumer goods company and enabling $125 billion to $150 billion in exports by 2032.

Brokerages Maintain Buy

Motilal Oswal Financial Services reiterated a 'BUY' rating on Reliance with a target price of ₹1,655 following the meeting. The brokerage expects Reliance Jio to remain the biggest growth driver, projecting the digital division will contribute 80% of incremental core earnings.

The firm forecast an 18% compound annual growth rate (CAGR) for core earnings between the 2026 and 2028 financial years. This growth is driven by a 15% wireless tariff hike in the second quarter, market share gains, and the continued ramp-up of home and enterprise offerings.

RIL is transforming from an energy-led conglomerate into a diversified platform company powered by Digital, Retail, AI and New Energy. Retail and Digital businesses now contribute 50% of group EBITDA, while New Energy and AI are positioned as the next multi-decade growth engines, analysts at Systematix Institutional Research said.

"The Jio IPO process has formally commenced, while Reliance Intelligence (AI) is emerging as a fourth growth pillar alongside Telecom, Retail and Energy. The New Energy business is set to enter commercialization in FY27 with initial solar revenues and battery commissioning, and RCPL is targeting ₹1 trillion revenues by FY30 as it scales into a leading FMCG platform," the brokerage firm said.

RIL is entering its next value-creation cycle. While Oil & Gas remains a strong cash-flow generator, the most significant long-term opportunities lie in Jio IPO, Reliance Intelligence (AI), RCPL scaling and New Energy commercialization. FY27-FY30 could mark the period when these emerging businesses begin contributing meaningfully to earnings, potentially reshaping Reliance's valuation framework from a traditional energy conglomerate to a diversified technology, consumer and energy-transition platform.