Do not see substantial upside in RIL: ICICI Sec

Do not see substantial upside in RIL in near-term, says Anantha Narayan, Co-Head Equities, ICICI Securities Limited.

Narayan told CNBC-TV18, "Reliance is one stock that we have liked for some time now and the primary reason is it has been a big underperformer. Argument has been that while the stock may not run up in a hurry, the downside is limited and being a large component of the indices, it is a stock that makes sense." He further added, "The way the deal just reinforces that argument, the deal per se besides the pop today may not take the stock up to significantly in the near-term but I think it essentially caps the downside. What the deal does to my mind is one is it infuses more confidence in the E&P business of Reliance and secondly, it brings to Reliance a very powerful partner for that business. So I think it is definitely a medium-term, long-term positive and worst case scenario don