Pointing towards the difference in between the Jio Platforms and Reliance Industries, Mahesh M Ojha, VP — Research and Business Development at KC Securities, said, “After the value unlock of Jio Platforms from RIL, Reliance Industries would continue to remain the core company of the Reliance Group. So, one should have both shares in one's portfolio. However, in the case of the availability of a limited amount, I would suggest a long-term investor to go for the Reliance Industries shares, instead of applying for the Jio IPO and waiting for the allocation of shares.”
Advising the long-term investor with ₹14,000 in hand for investing in Reliance Industries shares, Avinash Gorakshkar, Founder of Avinash Mentor Research, said, “The market is expecting the benefit of value unlocking for RIL, as it holds around one-third stake in Reliance Jio Platforms. So, this rally in the RIL shares can be attributed to the Jio Platforms IPO subscription opening.”
Gorakshkar said that even after value unlock from RIL, the balance sheets of these two companies would be connected due to RIL's strong two-thirds shareholding in Jio Platforms. Good financial performance would continue to be reflected in RIL's balance sheet.
Expecting this value unlock rally to continue further, Avinash Gorakshkar said, “The market is estimating around ₹350 to ₹500 per share rise in RIL shares due to the value unlock. However, much will depend upon the kind of listing Jio Platforms IPO receives.”
“Reliance Industries' share price today is ₹1209, and it is expected to touch ₹1,550 to ₹1,700 by the end of this financial year. So, my suggestion for the investor is to go for the definite one and buy Reliance Industries shares, because in this choice, the investor won't have to wait for the share allocation,” said SEBI-registered market expert Anuj Gupta.