Reliance Q3 Results Jan 16; Morgan Stanley Raises RIL Target to ₹1,847

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AuthorVihaan Mehta|Published at:
Reliance Q3 Results Jan 16; Morgan Stanley Raises RIL Target to ₹1,847
Overview

Reliance Industries Limited will announce its third-quarter and nine-month financial results on January 16, 2026. Global brokerage Morgan Stanley reiterated its 'Overweight' rating and increased the target price for RIL shares to ₹1,847, signaling nearly 20% upside. The firm cited all major business segments turning free cash flow positive and significant growth catalysts.

Reliance Industries Limited (RIL) will unveil its financial performance for the third quarter and the first nine months of fiscal year 2026 on January 16, 2026. The conglomerate's Board of Directors is scheduled to convene on this date to review and approve the standalone and consolidated unaudited results for the period ending December 31, 2025.

Analyst Optimism Fuels RIL Outlook

Global financial services firm Morgan Stanley has reinforced its positive outlook on Reliance Industries, maintaining an 'Overweight' recommendation. The brokerage boosted its price target for RIL stock to ₹1,847, an increase from its previous ₹1,701 target. This adjustment implies a potential upside of approximately 20% from RIL's prior closing price of ₹1,542.30.

Growth Catalysts and Cash Flow Positivity

Morgan Stanley anticipates sustained earnings upgrades and a valuation re-rating for RIL throughout 2026. The firm’s bullish stance is underpinned by three core business pillars, numerous growth catalysts, and an estimated $50 billion in potential value creation. Crucially, all of Reliance's major segments—including energy, consumer, and telecom—have achieved free cash flow (FCF) positive status. This financial resilience offers the company enhanced flexibility to allocate capital towards new growth initiatives.

Strategic Investments Set to Deliver Returns

Since the onset of the COVID-19 pandemic, Reliance has channeled over $80 billion into strategic investments. These investments are now poised to commence generating substantial returns from 2026 onwards. Morgan Stanley specifically highlighted the refining business, projecting a "golden age" for the sector. With refining margins hovering around $14 per barrel, roughly 1.5 times mid-cycle levels, this segment is expected to further bolster the company's financial performance.

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