Reliance Industries shares climb 6% in a month; can this upward move sustain? Here's what analysts say

Shares of Reliance Industries Ltd have gained more than 6 per cent in the past one month. The stock on Thursday crawled 0.80 per cent higher to hit a day high of Rs 2,381 over its previous close of Rs 2,362.05. At today's high price of Rs 2,381, the scrip traded 9.22 per cent higher from its 52-week low of Rs 2,180, a level seen on March 20, 2023. Yet, it has lost 16.60 per cent from its one-year high of Rs 2,855, hit on April 29 last year. On a year-to-date (YTD) basis, the counter has declined 7.87 per cent.

HDFC Securities has given an 'Add' rating to Reliance with a price target of Rs 2,637 amid a recovery in the O2C businesses, EBITDA growth in the digital business and potential for further value unlocking in the digital and retail businesses.

The country's most valuable firm, in terms of market capitalisation, clocked a 19.10 per cent year-on-year (YoY) jump in net profit at Rs 19,299 crore for the March quarter (Q4 FY23) against Rs 16,203 crore profit in the same period last year. The Mukesh Ambani-led conglomerate said its revenue from operations for the quarter rose 2.12 per cent YoY to Rs 2,16,376 crore.

On the technical front, support on the counter could be seen at Rs 2,315, followed by 2,310 and 2,300 levels.

Vaishali Parekh, Vice President - Technical Research at Prabhudas Lilladher, said, "A decisive move past Rs 2,400-2,420 is necessary to confirm the strength and establish conviction for a further rise. The RSI (Relative strength index) is well placed and has upside potential from here on with near-term support around Rs 2,300-2,315 levels. One can stay invested and only a major break below Rs 2,200 would weaken the trend."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, "Since last month, the said counter has seen a nice up move from Rs 2,200 to Rs 2,400 levels. On a daily scale, it is looking lucrative. Thus, one can accumulate Reliance for an upside target of Rs 2,500 and the stop-loss would be placed at Rs 2,275."

Sneha Seth, Derivatives Research Analyst at Angel One, said, "Reliance has recently rebounded from the Rs 2,180-2,200 zone. As far as levels are concerned, it has immediate support around the Rs 2,310-2,300-odd zone; whereas on the upside Rs 2,430-2,460 remains a strong hurdle and a sustainable move beyond the same should propel fresh buying interest."

Pavitraa Shetty from Tips2trades, said, "The stock is trading sideways in the range of Rs 2,332-2,386 on the daily charts. A daily close above resistance of Rs 2,386 could lead to targets of Rs 2,425-2,490 in the near term."

Meanwhile, Indian equity benchmarks traded higher in late-morning deals today, extending their climb for the sixth consecutive session. The domestic indices were up today led by buying in automobile, technology, metal and energy stocks.

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