Archive · 25 Jul 2026
Reliance Stock Stalls Amid Growth Investments
Reliance Industries is a big company in India that makes money from oil, telecom, retail, and new energy projects.
Recently, its stock price has gone down even though the company is making more money than ever.
This is because the company is spending a lot on new projects like solar power and green hydrogen, which don't make money right away.
Some investors think this is a good thing because these projects could make a lot of money in the future.
Other investors are worried because they don't know when these projects will start making money.
The company's stock price is also affected by how investors value different parts of the business.
Right now, the stock is about 21% below its highest price, but the company is still growing and making a lot of money.
Reliance Industries' stock price has fallen 21% from its peak despite record revenue and profits.
The company is investing heavily in New Energy, Retail, and Digital Services, which are not yet profitable.
Jio, Reliance's telecom arm, has 533 million subscribers and is expanding into digital services.
Reliance Retail is India's largest retailer, with revenue growing 12% year-on-year.
The company's stock is trading at a discount due to the conglomerate discount and earnings lag from new investments.
- Who
- Reliance Industries
- What
- Stock price stalls amid investments in New Energy and other growth areas
- When
- July 8, 2024 to present
- Where
- India
- Why
- Investments in New Energy and other growth areas are causing a valuation discount
Optimistic View
Cautious View
Future Growth Potential
Optimistic View
Investors optimistic about Reliance's future growth potential in New Energy, Retail, and Digital Services.
Cautious View
Cautious investors worry about the timeline and returns on New Energy investments.
Valuation
Optimistic View
Believe the current valuation does not reflect the true value of businesses like Jio and Retail.
Cautious View
Argue that the current valuation is justified due to execution risks and earnings lag.
Market Perception
Optimistic View
See Reliance as a high-quality company with strong long-term prospects.
Cautious View
Concerned about the conglomerate discount and the impact of cyclical energy markets.
- Current Stock Price
- Rs 1,275.35
- Revenue (FY26)
- Rs 10.56 lakh crore
- Net Profit (FY26)
- Rs 95,754 crore
- Jio Subscribers
- 533 million
- Jio 5G Users
- 285 million
- Jio ARPU
- Rs 215.6
- Reliance Retail Revenue (Q1 FY27)
- Rs 90,408 crore
- New Energy Investments
- Solar, battery storage, green hydrogen, data centres, AI infrastructure