Bernstein hikes target price on Reliance Industries, Goldman Sachs adds RIL to APAC Conviction List

So far this year, RIL shares have rallied 15 percent.

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Reliance Industries Ltd received a vote of confidence from global brokerages Bernstein and Goldman Sachs, with both reaffirming their bullish outlook on the diversified conglomerate.

Bernstein raised its target price for Reliance Industries shares to Rs 1,640 per share, indicating an upside potential of 15 percent from current levels. Further, the brokerage maintained its ‘outperform’ rating on RIL shares due to strong growth momentum.

“We see growth momentum strengthening on the back of store rationalization nearing completion, continued tariff repair, and scale-up in the new energy segment. We believe the improving growth outlook, combined with supportive valuations, sets the stage for a potential stock re-rating,” Bernstein’s Rahul Malhotra said.

The report added that Reliance Industries continues to demonstrate strong balance sheet discipline, with capex moderating and the Net Debt-to-EBITDA remaining flat in FY25. The company is poised for a growth revival supported by re-rating opportunities across all major segments:

• In retail, Bernstein anticipates revenue and EBITDA CAGRs of 16 percent and 20 percent respectively over FY2025–27, driven by the completion of store rationalization and renewed expansion.
• In telecom, the brokerage forecasts a 13 percent revenue CAGR, led by tariff hikes and a rising share of fixed wireless subscribers.
• In the New Energy segment, operations have commenced with a 1GW production line, with the business on track to reach a fully integrated 10GW capacity by FY26, collectively positioning Reliance Industries for robust multi-year growth and value creation.

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Goldman Sachs added Reliance Industries to its APAC Conviction List, along with Taiwan-based TSMC and China's Huaqin. The international brokerage believes that Reliance Industries' EBITDA growth could rebound to 16 percent in FY26, compared to two percent in FY25.

Further, Goldman Sachs sees limited room for further consensus earnings cuts, driven by the same drivers that Bernstein sees: improving refining fundamentals, retail returning to strong top-line growth with the completion of stores/B2C restructuring, and potential telecom tariff hike in H2FY26.

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