Reliance Share Price Falls 2.13% to Rs. 1,444.60 Despite Record Earnings

Key Takeaways

• Reliance share price fell 2.13% to Rs. 1,444.60, despite posting a 76.5% rise in net profit for Q1 FY26.

• The company reported record EBITDA of Rs. 45,258 crore, driven by strong performance in Jio and the oil-to-chemicals segment.

• Analysts noted slower growth in retail and digital services, contributing to the stock's decline despite headline earnings growth.

Reliance Industries (RIL) share price dropped by 2.13% to Rs. 1,444.60 as of 11:19 AM on July 21, 2025. The fall came despite the company posting its highest-ever quarterly EBITDA and net profit for Q1 FY26. It can be attributed to mixed analyst reactions and cautious sentiment over the company’s core business performance.

The stock opened the session at Rs. 1,465, down from its previous close of Rs. 1,476, and hit a low of Rs. 1,437 in early trade. Trading volumes  was robust, over 71.55 lakh shares changed hands, amounting to a turnover of Rs. 1,033.55 crore.

The 52-week range for Reliance shares stands between Rs. 1,114.85 and Rs. 1,551, while its all-time high is Rs. 1,608.80. Despite today's decline, the company maintains a massive market capitalization of Rs. 19.54 lakh crore. Hence, securing its position as India’s most valuable listed company.

Reliance share price chart on TradingView shows a loss of 2.72% as of 12.18 PM:

Reliance Q1 Update

Reliance reported consolidated EBITDA of Rs. 58,024 crore, registering a 35.7% year-on-year increase. The net profit surged 76.5% to Rs. 30,783 crore for the quarter ended June 30, 2025. This strong performance, however, was partly driven by Rs. 8,924 crore in gains from the sale of listed investments. Excluding this one-off, EBITDA rose 15%, and profit after tax grew 25% year-on-year.

Despite the headline growth, several analysts expressed concerns about the company's fundamental operations. Some even warned of near-term price corrections on the basis of weakness in core segments like retail.

Also Read: Axis Bank Share Price Falls 6% to Rs. 1,125 After Q1 Results: Brokerages Cut Target Price!

Mixed Analyst Reactions

While some brokerages remained optimistic, their outlooks were cautious. JPMorgan retained its overweight rating and raised its target price to Rs. 1,695 from Rs. 1,568, citing margin improvement in telecom and progress in new energy ventures. Nuvama also maintained a buy rating with a target price of Rs. 1,767, anticipating that the green energy ecosystem would scale over the next four to six quarters.

However, others flagged key challenges. Retail business growth slowed to 11.3%, falling short of expert estimates. Meanwhile, the Oil-to-Chemicals segment saw a 1.5% revenue drop, although EBITDA rose 10.8% on stronger fuel margins. These segments are considered vital for sustained earnings growth, and the current numbers raised investor caution.

Jio and New Energy Remain Bright Spots

One of the strongest segments in the results was Jio Platforms, which reported 18.8% revenue growth to Rs. 41,054 crore and a 23.9% jump in EBITDA to Rs. 18,135 crore. Jio has now surpassed 200 million 5G subscribers and reached 20 million home connections, making its JioAirFiber the world’s largest fixed wireless access service.

Market Outlook

Reliance stock continues to trade lower than the sector average of 36.02, indicating relatively attractive valuations. However, the current P/B of 2.39 and the 0.38% dividend yield show limited near-term triggers until there is core business acceleration.

Reliance's long-term outlook remains strong especially with its pivot to digital, telecom and clean energy. The stock still may see an interim period of volatility when the market digests mixed vertical performance.

Also Read: Should You Buy Broadcom Stock Now?

FAQs

1. What is the target price of Reliance shares in 2025?

Analysts estimate that the target price of Reliance shares in 2025 could range between Rs. 1,800 and Rs. 2,200, depending on the performance of its digital and retail businesses. Market experts also factor in growth from its green energy verticals and strong refining margins when making such forecasts. These targets are subject to macroeconomic conditions, company execution, and sectoral performance.

2. Can I buy Reliance share?

Yes, you can buy Reliance shares through any registered stockbroker in India by using a trading and demat account. Reliance Industries is listed on both the NSE and BSE. You can invest in its shares for long-term growth or short-term trading. It’s advisable to research the stock and consult a financial advisor before investing.

3. What is the prediction for Reliance shares?

Market analysts are optimistic about Reliance’s long-term potential. Predictions suggest moderate short-term volatility, but strong upside in the long run. Growth in digital, energy transition, and retail is expected to boost the stock. Brokerages such as Motilal Oswal and HDFC Securities maintain ‘Buy’ ratings with upward price targets.

4. What is the return of Reliance in 3 years?

Reliance shares have delivered a return of approximately 33% over the past three years. This performance reflects the company’s expansion across key verticals such as Jio Platforms and Reliance Retail, alongside stable petrochemical operations. Returns may vary based on market cycles and investor entry points.

5. Is Reliance a good stock to hold long term?

Reliance is considered a fundamentally strong company with diversified businesses. It has consistent revenue streams from telecom, retail, energy, and digital services. Long-term investors often view it as a core portfolio stock, especially with its investments in clean energy and global partnerships.