Reliance Industries To Maruti Suzuki India: 3 Blue Chip Stocks To BUY Next Week

Leading brokerage firm Motilal Oswal recently issued buy calls to three blue-chip companies: Jio Financial Services, Maruti Suzuki India, and Reliance Industries. There is up to 38% upside potential for these stocks. Investors may thus consider buying any of these stocks in the upcoming week.

Reliance Industries (RIL)

Reliance Industries CMP: Rs 1,382.10, Target Price: Rs 1,750, Potential Upside: 26.62%

"We value the O2C/E&P segments at 7.5x/5.0x FY28E EV/EBITDA to arrive at an enterprise value of INR5.7t (or ~INR420/sh) for the standalone business. We ascribe an equity valuation of INR590/sh and INR560/sh to RIL's stake in JPL and RRVL, respectively. We assign INR174/sh to the New Energy business, INR30/share equity value to RCPL, and INR26/sh to RIL's stake in JioStar. We reiterate our BUY rating with a TP of INR1,750," said the research analysts of Motilal Oswal in a statement.

Maruti Suzuki India Ltd (MSIL)

Maruti Suzuki CMP: Rs 12,615, Target price: Rs 17,406, Potential upside: 37.97%

"MSIL has underperformed the Auto Index post GST rate cuts largely on concerns of a weaker than expected performance in 3Q. We believe these concerns are overstated, as we expect MSIL to outperform the industry in FY27 and beyond once its near-term capacity constraints are resolved, supported by its robust product launch pipeline. Overall, we factor in MSIL to post 16% earnings CAGR over FY25-28E, largely back-ended. We reiterate our BUY rating on MSIL with a TP of INR17,406, valued at 26x Dec'27E EPS," commented the research analysts of Motilal Oswal.

In fact, MSIL stock has dropped 12% over the past six months, underperforming the Auto index by over 9%. Its poor 3Q performance and poor wholesale performance over the past several months are probably contributing factors to its underperformance.

JIO Financial Services

JIO Financial Services CMP: Rs 235.85, Target Price: Rs 320, Potential upside: 35.68%

"JIOFIN represents a long-term platform opportunity in India's evolving financial services landscape, supported by strong parentage, a robust balance sheet, and access to a large digital and consumer ecosystem. Near-term earnings and return metrics are likely to remain constrained as operating franchises are built across lending, asset and wealth management, and payments and insurance (broking and manufacturing). However, parallel scaling of multiple businesses, anchored in digital-first distribution, capital discipline, and selective partnerships, provides meaningful medium-to-longterm optionality," commented the research analysts of Motilal Oswal.

"JIOFIN offers a compelling long-term growth runway, supported by the breadth of its financial services platform and multiple embedded value-creation levers. While current valuations reflect a part of the medium-term growth potential, we believe they do not fully capture the scale opportunity across lending, asset management, insurance, and digital financial services as these businesses transition from incubation to meaningful profitability," they further added.

Commenting on the target price, the research analysts of Motilal Oswal said, "JIOFIN trades at 1x FY27E P/BV. We model consolidated PAT CAGR of 48% over FY26-FY28 and initiate coverage on JIOFIN with a BUY rating and TP of INR320 (based on Mar'28E SoTP). Our SoTP does not factor in valuation from businesses like Insurance manufacturing, Wealth management, broking, and marketplace, which are still in their incubation phase."

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