Brokerages see up to 28% upside in Reliance after Jio IPO filing
Jefferies, Nomura and Motilal Oswal reiterate Buy on Reliance Industries with target prices of Rs 1,640-1,675 after Jio's SEBI IPO filing (possible end-2026 listing). Jio valued at Rs 11-12 trillion with 524 mn subscribers; retail arm pushes into manufacturing, exports and scaling RCPL consumer brands.
What happened
Reliance Industries · At its AGM, Reliance detailed Jio's SEBI-filed IPO (possible end-2026 listing) plus retail push into manufacturing/exports and RCPL
Key facts
- TP Rs 1,675 (28% upside)
- TP Rs 1,640 (23.5%)
- TP Rs 1,655 (~26%)
- 270 mn shares
- 2.9% dilution
- Jio valuation Rs 11-12 trillion ($117-127 bn)
- 524 mn subscribers
- FY26 revenue Rs 1,468.9 bn
- EBITDA Rs 762.6 bn
Why this matters
The Jio IPO structure—2.9% dilution valuing the unit at Rs 11-12 trillion—offers a template for value-unlocking spin-offs, while the retail arm's push into manufacturing, exports and consumer brands signals expanding M&A and partnership scope.
What to watch
- SEBI approval milestones and confirmed listing window for Jio
- Jio subscriber ARPU trends and any tariff hikes
- Retail segment same-store growth and RCPL revenue run-rate
- Dilution/pricing details of the 270mn-share issue
- FII positioning and RIL weight in Nifty/MSCI
- Additional brokerages (Morgan Stanley, CLSA, domestic houses) initiate/raise targets to align with Jio SOTP math
- RIL management guidance on IPO structure, timeline and use of proceeds at next earnings/AGM
- Retail arm accelerates RCPL brand launches, export deals and manufacturing tie-ups to justify segment valuation
- Passive/index flows adjust ahead of eventual Jio listing; potential pre-IPO stake sales or strategic investors