Reliance share price Hits 52-Week Low, Extends Indian Market’s Losing Streak to Six Sessions
Reliance Industries Ltd. (RIL) faced another day of decline, with its stock hitting a 52-week low, extending the Indian stock market’s losing streak to six consecutive sessions. The stock fell as much as 1.93% intraday to Rs.1,229, close to its 52-week low of Rs.1,217.25 recorded on November 24. It eventually settled at Rs.1,230.45 on the National Stock Exchange (NSE).
The persistent downturn in RIL shares has contributed significantly to the broader market slump, with the benchmark Nifty 50 closing 1% lower. Reliance, which holds an 8% weight in the Nifty 50 index, has dropped 16% in the last three months, dragging the index down by over 5.7%.
Factors Behind the Decline
Market analysts attribute the stock’s underperformance to multiple factors, including:
- Weak Retail Performance: Reliance Retail’s restructuring has delayed investor expectations regarding monetization plans.
- Pressure on Oil & Gas Business: The energy segment, a key revenue driver, is facing margin pressure amid global economic uncertainties.
- Lack of Investor Confidence: Disappointment over the lack of a clear timeline for listing Reliance Retail and Jio during the company’s AGM has further impacted stock sentiment.
Despite the current weakness, 33 out of 39 analysts tracking RIL maintain a ‘buy’ rating, with an average 12-month price target of Rs.1,596, suggesting a potential upside of 3.4%
As Indian equities continue to face volatility, all eyes remain on global market trends and domestic economic cues that could influence RIL’s recovery in the coming weeks.
