NEW DELHI: Shares of Reliance Industries fell nearly 2 per cent in Monday's trade as experts remained mixed on the company's prospects following its fourth quarter results on Friday.
While some analysts expect a 16 per cent upside in the stock in the near future, some forecast 7 per cent downside, ET reported.The lender on Friday reported Rs 9,435 crore consolidated profit for the March quarter, its highest quarterly profit.The energy-to-telecom conglomerate led by India's richest businessman Mukesh Ambani, logged 17.26 per cent year-on-year (YoY) rise in profit and beat Rs 9,350 crore estimate that some analysts had projected in an ETNow poll.
The profit figure stood at Rs 8,046 crore in the year-ago quarter.
Meanwhile, Reliance Industries is planning to shut oil and gas production at its main fields in KG-D6 block in the coming months and begin complying with the governments guidelines for decommissioning facilities in the Bay of Bengal block where output has hit its lowest ever, according to a PTI report.The stock fell 1.68 per cent to hit a low of Rs 977.95 in early trade on BSE at around 9.20 am (IST).
It was later trading at Rs 985.90, down 0.89 per cent.Brokerage Edelweiss Securities noted that the core performance for the quarter was mixed.
Refining EBIT missed estimates by 3 per cent due to lower-than-expected GRM and throughput, while petchem remained robust amidst healthy volume growth from recent downstream projects and higher QoQ spreads in polyethylene/PVC/PET/polyester intermediates, the brokerage said.Retail revenues soared on increased contribution from higher margin digital space.
Reliance Jio (RJIO) reported profit for second consecutive quarter with strong subscriber addition and industry-leading ARPU, the brokerage noted.
The brokerage has revised its target on the stock to Rs 1201 from Rs 1,174.
However, other brokerages are mixed.
(See below)