Reliance Industries Crosses ₹21 Lakh Crore Market Cap, Becomes India’s Most Valuable Company

Reliance Industries Limited (RIL) surged to a 52-week high, pushing its market capitalization above ₹21 lakh crore for the first time. The stock’s momentum is further supported by JP Morgan’s positive outlook, and the upcoming Jio IPO is expected to be a major growth trigger.

RIL Hits ₹21 Lakh Crore Market Cap

On BSE, RIL shares closed at ₹1,569.75, up 1.99%, with an intra-day high of ₹1,571.80, marking a 52-week high. On NSE, the stock also remained strong. This marked the second consecutive day of gains, positively impacting the broader market. Sensex jumped 1,022 points to 85,609, while Nifty rose 320 points to close at 26,205. Heavyweights like HDFC Bank, ICICI Bank, and RIL supported the indices.

JP Morgan Maintains Overweight Rating

RIL’s bullish trend is backed by JP Morgan’s overweight rating. The brokerage increased its target price from ₹1,695 to ₹1,727, implying around 12% upside potential from current levels. RIL has delivered nearly 29% gains this year, outperforming Nifty 50’s 17% rise, yet still trades at a roughly 15% discount compared to peers. JP Morgan considers the stock attractive from a valuation perspective.

Earnings Pressure Eases, Refining Recovery Underway

Weak performance in refining and petrochemicals over the past two fiscal years had affected RIL’s earnings. Now, pressure is easing, and JP Morgan notes that refining capacity is robust, with margins and cash flows expected to improve in the coming months. This recovery phase is likely to strengthen the company’s valuation.

Growth Outlook from New Energy and Retail

The next 12–18 months are crucial for RIL. The company’s new energy capacity is nearing operational readiness, expected to boost business and revenue growth. Simultaneously, consistent growth in the retail segment has supported overall performance. JP Morgan believes the retail division will become a stable and high-growth engine for the company in the coming years.

Jio IPO as a Major Trigger

The announcement of Jio’s IPO by Chairman Mukesh Ambani at the AGM has also supported RIL’s stock surge. Listing of Jio is expected to be a key re-rating trigger, boosting both valuation and investor sentiment.

Analyst Sentiment Extremely Positive

Market sentiment around RIL remains bullish. According to reports, 36 out of 38 analysts have given a BUY rating, highlighting strong confidence in the company’s fundamentals, business model, and upcoming growth triggers.

India’s Data Center Race Heats Up

Apart from RIL, several other companies are planning investments in data centers. India’s largest engineering and construction firm, Larsen & Toubro (L&T), announced plans to invest approximately $2.5 billion to establish five data centers with at least 300 MW capacity each. Total investments in India’s data center infrastructure are expected to reach around $60 billion by 2025, including $53 billion announced by RIL, L&T, Adani, Tata Group, Google, Amazon, and Microsoft.