Reliance Shares in Focus as Jio IPO Plans Raise Holding Company Discount Fears

Shares of Reliance Industries Ltd. (RIL) will be closely tracked today after the conglomerate’s 48th Annual General Meeting (AGM), where Chairman Mukesh Ambani confirmed plans to list Reliance Jio by June 2026. Analysts welcomed the move but warned that a holding company discount could offset gains for shareholders.

Brokerage calls mixed on Jio IPO impact

♦ Nuvama Institutional Equities: Buy rating, ₹1,733 target — IPO expected in H1 2026, could unlock value but holding company discount may limit upside.

♦ JPMorgan: Overweight rating, ₹1,695 target — Street valuations already factor in Jio’s value; tariff hikes could act as near-term catalyst.

♦ Jefferies: Buy rating, ₹1,670 target — Strong broadband traction, 5G exports planned; IPO could still trigger discount.

♦ Kotak Institutional Equities: Add rating, ₹1,555 target — RIL aims to double EBITDA by FY2027, with retail and FMCG set for aggressive growth.

Retail and FMCG ambitions 🚀

Reliance targets 20% CAGR in organised retail over three years and ₹1 lakh crore in FMCG revenue within five years, eyeing global leadership.

AI, energy, and digital ecosystem push

Ambani called AI the “Kamdhenu of the new age,” embedding it across Energy, Retail, Telecom, and Entertainment. Reliance announced deeper ties with Meta and Google Cloud, boosting its digital ecosystem, while reaffirming its new energy goals.

Employment and 5G milestones

RIL’s workforce of 6.8 lakh employees is projected to exceed 10 lakh, with Jio achieving India’s fastest 5G rollout and surpassing 500 million customers.

Stock performance

RIL shares closed 2.16% lower at ₹1,356 on Friday, though they have risen 11% in 2025 so far. Analysts believe the Jio IPO announcement may support the stock in the near term but warn of long-term valuation risks.