Reliance Shares Surge 3% as Macquarie Upgrades to ‘Outperform’; Target Price Set at ₹1,500

Brokerages Turn Bullish on RIL Amid Growth Prospects in Retail and Telecom

Reliance Industries Ltd. (RIL) shares surged over 3% on March 7, extending gains for the third consecutive session as Macquarie upgraded its rating on the stock to ‘Outperform’ with a price target of ₹1,500. The global brokerage firm cited improving earnings momentum and a potential IPO of Reliance Jio as key factors driving optimism around the stock.

The upgrade by Macquarie follows similar bullish calls from Jefferies and Kotak Institutional Equities, both of which highlighted upside potential driven by growth in the retail segment and expected telecom tariff hikes.

Reliance Shares Gain as Global Brokerages Raise Price Targets

• Macquarie: Upgraded RIL to ‘Outperform’ from ‘Neutral’, with a target price of ₹1,500 per share—indicating an upside potential of over 20%.
• Jefferies: Reiterated ‘Buy’ rating, with a higher price target of ₹1,600, citing recovery in retail growth and telecom tariff hikes.
• Kotak Institutional Equities: Upgraded RIL to ‘Buy’ from ‘Add’, setting a target price of ₹1,400, citing attractive valuations after recent stock declines.

At 1:54 PM on March 7, Reliance shares were trading at ₹1,249 per share on the NSE, with strong buying interest among investors.

Macquarie’s Bullish Outlook on RIL

According to Macquarie analysts Aditya Suresh and Baiju Joshi, the earnings estimates for FY26 and FY27 now appear reasonable, following a 12-17% downward revision over the past year. The analysts noted:

• Stronger earnings momentum ahead could drive higher valuations.
• Reliance Jio’s potential IPO could act as a major catalyst for stock performance.
• The company’s expanding retail business continues to show long-term growth potential.

Jefferies Sees Further Upside for Reliance

In a separate note, Jefferies reiterated its bullish stance on RIL, maintaining a ‘Buy’ rating with a target price of ₹1,600 per share—implying an upside potential of 28% from current levels. The brokerage firm pointed out:

• The concerns surrounding Reliance’s stock are overblown.
• Retail revenue growth is expected to recover to 15% in FY26.
• A telecom tariff hike could boost earnings and investor sentiment.

Kotak Institutional Equities Upgrades RIL, Calls Valuations Attractive

Kotak Institutional Equities also raised its recommendation on Reliance, moving from ‘Add’ to ‘Buy’, with a target price of ₹1,400. The firm stated that:

• The recent decline in Reliance’s stock price has made valuations more appealing.
• Potential news on a Jio IPO and telecom tariff hikes could serve as positive triggers for the stock.

Key Factors Driving Reliance’s Stock Rally

1. Brokerage Upgrades:

   • Macquarie, Jefferies, and Kotak have all issued bullish ratings, boosting investor confidence.

2. Reliance Jio IPO Speculation:

   • A listing of Jio could unlock significant value and attract new institutional investors.

3. Retail Business Growth:

   • Analysts expect 15% revenue growth in FY26, strengthening RIL’s non-energy revenue streams.

4. Potential Telecom Tariff Hike:

   • A price increase in Reliance Jio’s services could significantly boost profitability.

5. Attractive Valuations:

   • The recent pullback in RIL’s stock price has created an opportunity for investors to buy at lower levels.

Reliance Stock Poised for Further Gains

With strong endorsements from top global brokerages, Reliance shares have gained momentum, attracting renewed buying interest from investors. The potential listing of Reliance Jio, combined with improving retail growth and a likely telecom tariff hike, positions the company for strong future earnings growth.

If the positive catalysts materialize, RIL’s stock could reach or even surpass the ₹1,500–₹1,600 target range set by Macquarie and Jefferies. Investors will closely watch for further developments, particularly regarding Reliance Jio’s potential IPO and regulatory decisions on telecom pricing.