Shares of Reliance Industries Ltd (RIL) are in focus after Goldman Sachs reiterated its ‘Buy’ rating on the stock and assigned a target price of ₹1,910 per share.
Based on the previous closing price of ₹1,262.60, the target implies an upside potential of about 51 percent.
During the session, the stock rose 2.7 percent to an intraday high of ₹1,297.45. Reliance Industries has a market capitalisation of around ₹17.49 lakh crore.
Why Goldman Sachs remains positive
The brokerage highlighted several factors supporting its long-term view on the company.
1. Refining and petrochemicals remain supportive
Goldman Sachs expects refining margins and petrochemical spreads to remain relatively strong over the medium term.
While near-term factors such as crude premiums and windfall taxes could affect profitability, the brokerage believes structural demand and integrated operations should support earnings from the oil-to-chemicals business.
2. Retail continues to be a long-term growth engine
The brokerage expects the retail business to remain a key driver of growth despite margin pressures from investments and expansion.
According to Goldman Sachs, factors supporting the segment include:
- Scale expansion.
- Digital integration.
- Omnichannel strategy.
- Improving operating leverage over time.
3. Weakness in upstream earnings largely priced in
Lower oil and gas earnings reflect assumptions of weaker production from the KG-D6 block and higher operating costs.
However, Goldman Sachs believes much of this pressure has already been factored into valuations, limiting downside risks from the segment.
4. Earnings revisions linked to accounting adjustments
The brokerage said reductions in FY27 and FY28 earnings estimates are largely due to mark-to-market adjustments in non-operating income and expenses.
It noted that the revisions do not reflect structural deterioration in the core business.
Reliance and Meta announce AI data centre partnership
In a recent development, Reliance Industries and Meta Platforms Inc. announced a partnership to build an AI-enabled data centre in Jamnagar, Gujarat.
Key details of the project
- Initial capacity of 168 MW.
- Delivery targeted within two years.
- Scope for future expansion.
- Meta will lease capacity from the facility.
The project marks Meta’s first built-to-suit data centre capacity in India.
Under the agreement, Reliance will provide:
- Design and construction.
- Utility management.
- Renewable power supply.
- Network connectivity.
- Operations and maintenance.
The facility will benefit from:
- Access to renewable energy.
- Desalinated seawater cooling.
- Proximity to submarine cable landing stations.
- Connectivity through Jio’s fibre network.
Q4 FY26 financial performance
Revenue rose to ₹2,94,059 crore in March 2026 from ₹2,61,388 crore a year earlier, registering growth of 12.5 percent.
Net profit declined to ₹20,589 crore from ₹22,611 crore.
Financial metrics
- ROCE: 10.3%
- ROE: 8.91%
- Debt-to-equity ratio: 0.45
About Reliance Industries
Founded by Dhirubhai Ambani, Reliance Industries is one of India’s largest conglomerates.
Its businesses span:
- Refining and petrochemicals.
- Oil and gas exploration.
- Telecommunications.
- Retail.
- Digital services.
- Media.
The company operates the Jamnagar refinery complex, one of the world’s largest.
Global rankings
- 88th in the Fortune Global 500 list for 2025.
- 45th in the Forbes Global 2000 rankings for 2025, the highest among Indian companies.
- Included in Time’s 100 Most Influential Companies of 2024.
TL;DR
Goldman Sachs has maintained a ‘Buy’ rating on Reliance Industries and set a target price of ₹1,910, implying 51 percent upside. The brokerage cited strength in refining and retail businesses and said weakness in upstream operations is largely priced in.
AI summary
- Goldman Sachs retained a ‘Buy’ rating on Reliance Industries.
- The brokerage set a target price of ₹1,910.
- The target implies 51 percent upside from the previous close.
- Retail and refining businesses remain key growth drivers.
- Reliance and Meta recently announced an AI data centre project in Gujarat.