RIL shares: Reliance Industries stock slides 6% in a month, can Jio Platforms IPO aid the bounce back? Experts' views
RIL share price | Stocks to buy today | Jio Platforms IPO: Shares of Reliance Industries Ltd (RIL) have been under selling pressure ahead of the Jio Platform IPO launch. While it is throwing tantrums at the existing Reliance Industries shareholders, market experts are looking at this dip as an opportunity for the primary market investors to buy Reliance shares at a lower price, which is close to the Jio Platforms IPO price band of ₹1,065 to ₹1,119 apiece, and become eligible for the possible benefit of the value unlocking. However, it is not guaranteed that Jio Platforms shares will be distributed to all RIL shareholders.
Irrespective of this value-unlock factor, experts believe the Jio Platforms IPO is a central factor, though not entirely negative. While news of an upcoming mega public offering usually acts as a catalyst, market sentiment has cooled because recent reports put valuations at approximately $114 billion (~ ₹10.3 lakh crore), lower than earlier speculative estimates of $130 billion to $170 billion. They said Reliance shares are facing a hurdle at ₹1,200. On breaking above this, we can expect the Reliance share price to scale around ₹1265.
Reliance share price today is around ₹1165, clocking around 6% dip in one month.
Whether Jio Platforms IPO can bring the mojo in Reliance shares, Seema Srivastava, Senior Research Analyst at SMC Global Securities, said, “Jio Platforms IPO is structured predominantly as a fresh capital issue of around 2.9% post-IPO equity rather than a massive offer-for-sale (OFS). This means RIL itself is not directly pocketing cash from selling its stake, though it retains a controlling ~64.5% stake while Jio uses the proceeds for debt prepayment and expansion.”
The SMC Global Securities expert said that arbitrage traders and institutional desks are temporarily discounting the holding company valuation until the listing price band and post-listing trading performance establish firm market values. Therefore, while the lower-than-anticipated IPO valuation guidance created temporary selling pressure alongside weakening energy metrics, the IPO itself remains a strategic structural positive for unlocking long-term value once primary market demand stabilises.
On what technical chart hints at the Reliance Industries shares, Mahesh M Ojha, VP — Research and Business Development at KC Securities, said, “Immediate support for the Reliance Industries shares is placed at ₹1145, whereas ₹1120 is acting as major support for RIL shares. Those with a long-term horizon are advised to hold the scrip, maintain a stop-loss at ₹1085, and keep accumulating on every 4%-5% dip. Fresh investors can apply the same by adding Reliance Industries to their portfolio at the current market price.”
Ojha said that Reliance Industries shares are facing resistance at ₹1200. On a closing basis, breaking above this resistance could take the stock to ₹1265 apiece in the near term.
Asit Manohar has nearly two decades of experience in the mainstream media. In this period, he has served esteemed media organisations like NDTV Profit, The Economic Times, and Zee Business. He has been working at LiveMint Digital since April 2021. During these two decades of journey in mainstream media, Asit has mainly covered external affairs, markets and personal finance. However, his earliest beats include railways, SME, MSME, and politics (Congress beat). Some of his features on political, economic, and foreign policy are documented in the parliamentary records. <br><br> While pursuing his MA (Mass Communication, Session 2004-06), Asit began his media career as a stringer at All India Radio in Varanasi. At AIR Varanasi, Asit worked with the Gyanvani, Yuvvani and Vividh Bharti teams. After working for nearly one year at AIR Varanasi, he shifted to print journalism and started working as a stringer for the HT Media Ltd, Varanasi. At HT Media Ltd in Varanasi, he covered the BHU beat. <br><br> Asit has also worked with some brokerage houses. He has worked with Religare Broking and India Infoline, where he assisted the research team in developing and executing trade strategies for intraday cash, F&O, and commodities. <br><br> Asit is a Gold Medalist in MA (Mass Communication) from BHU, Varanasi. He did his BSc. (Hons) in Mathematics from Magadh University, Bodh Gaya. Asit was a National Talent Scholarship holder during his senior secondary studies (1988-91).
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HomeMarketsStock MarketsRIL shares: Reliance Industries stock slides 6% in a month, can Jio Platforms IPO aid the bounce back? Experts' views
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