Reliance Industries shares tank 13% so far in 2023, underperform Sensex, Nifty; should you buy?

Produced by: Harshita Tyagi
Designed by: Mohsin

Mukesh Ambani's Reliance Industries shares fell 2% on Wednesday to hit a 52-week low of Rs 2,228. The stock declined for the fifth time in a row

Reliance Industries shares
fall to fresh lows

Reliance share price has tanked over 13% so far in 2023, underperforming benchmark indices Sensex and Nifty, which have fallen around 6% year-to-date

RIL shares tank 13% YTD,
underperform Nifty & Sensex

Reliance Industries' market capitalisation has been eroded by Rs 31,631 crore in two days as a result of the rout in the conglomerate's stock

RIL m-cap eroded by over
Rs 30,000 crore in 2 days

RIL’s stock price has corrected due to the volatile O2C segment margins and volatile energy prices. Also, RIL’s net debt has reached Rs 1,10,248 crore, and it is expected to further expand due to higher capex commitments in 5G and organised retail segment

What is dragging
Reliance shares?

Reliance Industries share price breached its crucial support of Rs 2,300 recently which is a matter of concern, according to Jigar S Patel of Anand Rathi Shares and Stock Brokers

RIL shares breach
crucial support

Reliance has been in a corrective phase for quite some time and is hovering near the crucial zone of Rs 2,300. According to Osho Krishan, Senior Analyst - Technical & Derivative Research at Angel One, the stock has historically reversed from this zone, and the same is expected this time

RIL stock technical analysis

“At the current market price, fresh longs are not recommended as we are expecting Reliance to test Rs 2,200 levels in coming sessions,” said Jigar S Patel, Senior Manager - Technical Research Analyst, Anand Rathi Shares and Stock Brokers

Should you buy Reliance
shares?

The brokerage recommends BUY at current levels. Recovery in polymer margins, telecom tariff hike, and improvement in asset utilisation of existing retail stores are likely to act as upside triggers for the stock, as per Vinit Bolinjkar, Head of Research, Ventura Securities

Ventura Securities on
RIL shares

The content in the story is for information purposes only. Investors or market participants should consult their financial advisors before taking any position

Disclaimer