Reliance Industries share price in a weak market when the Sensex is sub 46800 levels gained by as much as 1.5% to hit the day's high of Rs. 1923.3 per share on the NSE. The gains come after a 10% cut in the stock price of RIL in the last three trading sessions.
From the record high price of Rs. 2368.80 scaled in September 2020, RIL shares are down by 20 percent currently. Investment and research firm Moody's believes that in comparison to historical levels, RIL's capital spending spree would go down and the internal cash flow will be just enough to meet its future spending requirements. Further an analyst at Moody's said that sustained earnings growth alongside strong balance sheet and zero- net debt will hold the company's credit metrics strong for its Baa2 rating over the next 12-18 months.
Since the beginning of FY21, the company has amassed Rs. 2.5 lakh crore via stake sales in its Jio Platforms and retail segment and a rights issue offering. "Around 85 per cent of the proceeds have been received, with the last tranche of Rs 39,840 crore pertaining to the rights issue offering likely to be called during 2021," said Moody's Investors Service in a note.
As per Head of Research, Bonanza Portfolio ,Reliance Industries Ltd will face resistance near the Rs 1930-1950 zone. It has support around 1870 levels. "Reliance Industries Ltd is likely to hold between this broader range till Union Budget 2021, at least," he added