This brokerage gives "buy" call for Reliance, sees 21 pc rise in share price

New Delhi [India], August 30 (ANI): Financial advisory firm and stock broker Prabhudas Lilladher has given "buy" recommendations for Reliance Industries and it sees around a 22 per cent rise in the company's share prices.
Shares of Reliance Industries are currently trading at Rs 2,627. The firm pegged the target price at Rs 3,165.
This buy rating comes after the company highlighted its plans to invest Rs 2 trillion for the rapid roll-out of 5G services in major metro cities by Diwali and pan-India coverage by 2023. Jio will deploy the latest version of 5G called standalone 5G.
It pledged Rs 75,000 crore for its oil-to-chemicals business to expand polyester, poly vinyl capacity and set up carbon fiber business in next five years.
Another Rs 75,000 will be invested in new energy business in order to set up Photo Voltaic (PV) capacity, battery storage, fuel cell and electrolyser capacity.
Reliance also has aggressive growth plans across retail sector and is looking forward to launch high-quality affordable FMCG products this year.
Reliance Retail will launch an FMCG (Fast Moving Consumer Goods) business this year, announced the company's Director Isha Ambani on Monday.
"The objective of this FMCG business is to develop and deliver products that solve every Indian daily needs with high-quality products at an affordable pricing," Isha Ambani said.
She made this announcement while addressing the shareholders at Reliance Industries' virtual Annual General Meeting.
Reliance Retail has achieved a record of Rs 2 lakh crore turnover and an EBITDA (Earnings before interest, taxes, depreciation and amortization) of Rs 12,000 crore and is among the Top-10 retailers in Asia.
"During the year, we strengthened our own brands' presence by launching several new products across categories of Staples, Home, Personal Care and General Merchandise. Further, we launched our WhatsApp-JioMart partnership," Isha said at the AGM.
Reliance Retail has opened over 2,500 stores this year to take its store count to over 15,000, spanning an operational area of 42 million sqft.
"We believe Reliance's business segments are very well positioned to benefit from segment tailwinds, given its solid leadership position and well-integrated business structure. Further, the company is best placed to incubate new businesses and pursue inorganic opportunities...," the financial advisory firm said. (ANI)