Even as BSE Sensex was trading deep in red in today’s session, RIL shares were among top-performers on the index
RIL share price gained 1.5 per cent to Rs 1,923.35 apiece on BSE today, after falling nearly 10 per cent in the last three trading sessions. Even as BSE Sensex was trading deep in red in today’s session, RIL shares were among top-performers on the index. Reliance Industries Ltd reported a 20 per cent on-year fall in total income to Rs 1.28 lakh crore in the October-December quarter. Vishal Wagh, Head of Research, Bonanza Portfolio Ltd, told Financial Express Online that 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.
So far in the intraday session, over 14 lakh RIL shares have been traded on the BSE, while 66.55 lakh shares exchanged hands on NSE, according to the data from the respective stock exchanges. Since April 2020, Mukesh Ambani’s RIL has raised around Rs 2.5 lakh crore through stake sales in its retail (Reliance Retail Ventures Ltd) and digital services segments (Jio platforms) and a rights issue offering, which helped the conglomerate to reduce its reported net debt to zero. “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.
From the record high of Rs 2,368.80 touched in September last year, RIL shares are off 20 per cent. Moody’s Investors Service also expects RIL’s intensity of capital spending to decrease compared with historical levels such that the company’s internal cash flow generation will be sufficient to meet its future spending needs. Analysts at Moody’s Investors Service said that continued growth in earnings combined with the RIL’s strong balance sheet with zero net debt on a reported basis will keep Reliance Industries Ltd’s credit metrics strong for its Baa2 rating over the next 12-18 months.
This article is auto-generated by AlgorithmSource: www.financialexpress.com