Reliance shares rise 3% on Jio IPO, AI push in 2026

Stock rebounds after a two-day slide

Shares of Reliance Industries Ltd (RIL) rose nearly 3% in early trade on Monday, 22 June, as the stock looked set to snap a two-day losing streak. The move followed the company’s 49th annual general meeting (AGM), after which several brokerages reiterated positive views on the stock. In early deals, Reliance opened at ₹1,324.90 versus the previous close of ₹1,309.35. The stock climbed about 2.76% to an intraday high of ₹1,345.45, according to the trading levels cited. Investors and analysts focused on multiple growth themes flagged by the company across telecom, artificial intelligence (AI), retail and new energy.

What the AGM changed for investor sentiment

Brokerage commentary suggested the AGM did not deliver a single surprise catalyst, but reinforced Reliance’s longer-term roadmap. Reports said sentiment improved after updates on strategic initiatives across businesses. These included steps toward a proposed Jio Platforms IPO, expansion of AI infrastructure and data centres, renewable energy investments and growth plans for consumer businesses. The company also outlined a plan to substantially increase earnings over the next five years, with management targeting a doubling of EBITDA over that period. Analysts framed the update as a continuation of Reliance’s evolution beyond its traditional oil-to-chemicals base.

Jio Platforms IPO: process underway

A key trigger for renewed interest was the indication that Reliance has started the process to launch a Jio Platforms IPO in the near future. While details such as timing and size were not specified in the provided information, the fact that the process has begun was enough to keep the listing theme in focus. For investors, a Jio IPO is widely tracked as a potential monetisation milestone within the group’s digital business. Brokerages linked the IPO plan to the broader narrative of value creation across digital, retail and emerging businesses.

AI infrastructure becomes a central growth pillar

Several brokerages highlighted Reliance’s push into AI infrastructure and data centres as a major leg of its next growth phase. One brokerage note said the company is positioning AI as a core capability across businesses and expects its first AI compute capacity to be commissioned by the end of 2026. Nomura described AI as a new growth catalyst for Reliance and maintained a ‘buy’ rating with a target price of ₹1,640, as cited in the information provided. Another brokerage reference pointed to the Jamnagar Sovereign AI Hub, with a target for first 120 MW capacity by the end of FY26. Together, these datapoints positioned AI as a measurable project pipeline rather than only a strategy statement.

New Energy: commissioning progress and FY27 revenue cue

Reliance’s new energy business remained a prominent theme in post-AGM commentary. Analysts continued to point to investments in solar manufacturing, battery storage and clean fuels as long-term earnings diversifiers beyond the oil-to-chemicals business. As per the information provided, solar module and cell manufacturing facilities have already been commissioned. A brokerage note also said it expects the group’s new energy business to start generating revenue from FY27. Separately, Morgan Stanley said Reliance is targeting 3 MMTPA of green hydrogen equivalent capacity by 2032, linking it to India’s energy security.

Retail and FMCG: building another earnings engine

The retail and consumer businesses drew attention as analysts highlighted Reliance’s ambition to build a large-scale FMCG franchise. Brokerages said the company aims to deepen its consumer products portfolio and create an additional earnings engine over the coming years. This consumer-focused expansion was also listed among the company’s value creation pathways, alongside AI infrastructure and new energy. In the framework shared in the provided text, scaling the FMCG business into a multi-billion-dollar growth engine and expanding global markets for Made-in-India brands were included as strategic priorities.

Broker views: targets and themes

Systematix Institutional Equities said Reliance is transforming from an energy-led conglomerate into a diversified platform company driven by Digital, Retail, AI and New Energy. It also noted that Digital and Retail now contribute around 50% of group EBITDA, while AI and New Energy are emerging as future growth engines. Morgan Stanley reiterated an ‘overweight’ rating with a target price of ₹1,803, and described the company as entering its fifth monetisation cycle with AI infrastructure and new energy as next value drivers. Another brokerage snapshot in the provided information included BNP Paribas India’s ‘Outperform’ rating with a target of ₹1,785, and JPMorgan’s view that valuations remain attractive with potential catalysts such as the Jio IPO and new energy milestones.

Market impact: why the stock moved on Monday

The immediate market reaction was a relief rally after a short losing run, supported by brokerages maintaining bullish stances post-AGM. Reliance’s price action also outpaced the broader index move cited in the provided information, with one report noting the stock rose about 2.4% while the Nifty 50 gained about 0.5% in morning trade. The mix of catalysts was broad: Jio IPO progress, measurable AI commissioning timelines, and clearer signals on new energy revenue timing. Management’s stated ambition to double EBITDA over five years reinforced the medium-term lens for investors, even as analysts have also flagged periods of weakness in the core energy business in other contexts.

Analysis: the key takeaway from the AGM roadmap

The post-AGM response suggests investors are assigning more weight to Reliance’s next set of growth engines. AI infrastructure and new energy were repeatedly described by brokerages as future value drivers, supported by specific timelines such as AI compute by end-2026 and the Jamnagar AI hub’s targeted 120 MW capacity by end-FY26. The consumer and FMCG focus adds a domestic demand lever alongside telecom growth, while the Jio IPO theme keeps attention on potential value unlocking. At the group level, the observation that Digital and Retail contribute around half of EBITDA, as cited by Systematix, supports the narrative of Reliance becoming more diversified over time.

Conclusion: what to watch next

Reliance’s nearly 3% rise on Monday reflected a market preference for clarity on execution and monetisation themes after the AGM. Investors will be tracking next steps on the proposed Jio Platforms IPO process, commissioning milestones for AI compute capacity and the Jamnagar Sovereign AI Hub, and signals that new energy projects can translate into revenue from FY27 as expected by at least one brokerage. Future updates around management’s goal of doubling EBITDA over five years will also be watched closely in subsequent company communications and broker revisions.