In the last several months even in Covid 19 climate, Reliance Industries' telecom business garnered back to back foreign investments and because of which it resulted in a kind of valuation benchmarking for the company's telecom business, which contributes as much as 50% of the valuation. And there is bullish outlook on the stock of Reliance Industries and its core business of refining is also expected to spur in one or two years.
Now as the company's retail business is also gearing up ever since the relaxation of lockdown and there too a record number of deals have been seen with a stake sale of almost 10 percent that also happened at a premium to the valuation that the market was otherwise assigning to.
RIL's current or any further correction provides an opportunity to take position in the stock
And after the sharp rally in short span of time which led to profit booking and now amidst arbitration with Amazon on the Future deal, any sharp correction shall be a buying opportunity and a target price set at Rs. 2400. So, investors can start accumulating the stock given the huge upside potential from current levels, advises Siddharth Khemka of MOSL brokerage.