Reliance Industries Stock Price: Reliance Industries Limited shares may show up to 30 percent further. Brokerage firm Morgan Stanley has retained a “overweight” call for the stock. Also, the target price has been given Rs 1,606 per share. This is about 31 percent more than the closing price of Reliance Industries shares on BSE on 19 February. Morgan Stanley said in his note that Reliance Industries has entered into an agreement with the Central Government to build a 10 GW battery capacity with a 10 million dollars of product linked incentives (PLI).
Brokerage said that it has been in work since last year, but the announcement sheds light on the examination of Reliance Industries’ new energy plan. This contract is part of the government initiatives to get domestic manufacturing for a new energy supply chain developed in India.
Reliance Industries has a compromise with subsidiary
Reliance Industries subsidiary Reliance New Energy Battery and the Ministry of Heavy Industries were signed by the Ministry of Reliance Industries on the agreement for the 10 GW Capsity under the PLI initiative for the Advanced Chemistry Sale (ACC) Scheme. In May 2021, the Union Cabinet approved the national program on the ACC battery storage scheme. The total allocation for the program was Rs 18,100 crore. The scheme aims to achieve a total manufacturing capacity of 50 GW hours.
With the latest agreement with Reliance New Energy Battery Limited, 4 selected benefits have been provided with 40 GW cumulative capacity. According to the ministry, in the first round of the bidding held in March 2022, three benefits of firms were allocated a total capacity of 30 gWh hours.
Share boom
The stock rose by 1 percent in the day on February 20 and the price on BSE went up to Rs 1239.40. The company’s market cap is Rs 16.69 lakh crore. Reliance Industries is India’s most valuable company. The stock has dropped 16 percent in the last one year. Out of 38 analysts coverage on Reliance Industries, 34 have given the stock a “by” rating, 3 called “SAIL”, while others have given a “hold” rating.
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