Buy Reliance Industries with long term view: Sudip Bandopadhyay

Sudip Bandopadhyay, Market Expert told CNBC-TV18, "In Reliance Industries, we have been bullish and I continue to maintain my bullish view. The news on Friday evening which came does cause a sentimental reaction and that is what we saw getting played out today in the market. However, I don’t think it is going to have any long-term impact on the price of Reliance. I have maintained my view that the Reliance Jio launch and commercial operation launch has changed the game as far as Reliance Industries is concerned." 

"I am not sure whether they will have an EBITDA positive like a lot of people are saying by the end of the next financial year or not, but there is absolutely no doubt on the fact that they are going to be a formidable player in the telecom industry. They are also going to get significant amount of revenues from the subscribers. Now, whether the subscriber retention will be 50 percent, 40 percent, or 60 percent is a matter of conjecture, but the fact is there will be anywhere between Rs 16,000-24,000 crore of revenue coming out of Reliance Jio which will be incremental on top of their routine businesses," he said. 

"Also, remember, the retail business of Reliance is also doing well and somewhere they are going to become EBITDA positive very soon. So, overall Reliance Industries definitely deserves a re-rating. I think investors willing to take a little longish term view should buy Reliance at current level," he added.

Disclosure: Reliance Industries owns Network 18 that publishes Moneycontrol.com.