Reliance Industries Share Price Today: Why Is The Mukesh Ambani-Led Stock Falling Despite Reporting Highest-Ever Profit?

The shares of the billionaire Mukesh Ambani-led conglomerate Reliance Industries (RIL) declined during Monday's trade by 2.7% to Rs 1,436.85 on the BSE, despite the company posting its highest-ever profit as well as EBITDA during the first quarter of this fiscal on Friday.

Reliance Industries Performance

The company reported a profit of Rs 30,783 crore, which was significantly boosted by the sale of Asian Paints stake, which was worth Rs 8,924 crore and lower-than-expected interest expenses and taxes.

According to the brokerage firm Emkay, Reliance reported a 5% miss in consolidated EBITDA at $429 billion and a 7% miss in APAT at $181 billion for the quarter ended June 2025. This was mainly due to lower-than-expected EBITDA from the O2C (Oil-to-Chemicals) and Retail businesses, down 6% and 5%, respectively.

Emkay further added that Jio subscriber addition was also better as compared to what was expected at 9.9 million new customers, while average revenue per user (ARPU) grew 1% to Rs 208.8.

The telecom firm's strong performance was driven by continued subscriber growth and improved operational margins.

But the brokerage also maintained the view that despite the eye-catching profit numbers, the operational performance fell short of expectations across critical business verticals.

Reliance Industries: Share Price Target

Despite recent stock performance and a strong three-month run-up, Emkay said, “We retain BUY, albeit seek better entry points.”

Emkay uses a SOTP (sum-of-the-parts) methodology to value RIL, assigning higher target multiples for Other Segments (15x EV/EBITDA) and New Energy (2x EV/IC), driving a 10% increase in the overall target price to Rs 1,600.

Key risks, however, include adverse commodity or currency movements, B2C competition, policy changes, and delays in monetizing new businesses.

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