Reliance Industries rose 2.15% to Rs 827.75 at 11:19 IST on BSE after a foreign brokerage upgraded the stock to overweight from underweight.
Meanwhile, the BSE Sensex was up 86.10 points, or 0.31%, to 28,061.96.
On BSE, so far 1.52 lakh shares were traded in the counter, compared with an average volume of 4.32 lakh shares in the past one quarter.
The stock hit a high of Rs 832.05 and a low of Rs 816.10 so far during the day. The stock hit a 52-week high of Rs 1,142.50 on 16 May 2014. The stock hit a 52-week low of Rs 796.75 on 30 March 2015.
The stock had underperformed the market over the past one month till 30 March 2015, falling 6.45% compared with 4.72% decline in the Sensex. The scrip had also underperformed the market in past one quarter, falling 7.98% as against Sensex's 2.09% rise.
The large-cap company has an equity capital of Rs 3235.69 crore. Face value per share is Rs 10.
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Reliance Industries (RIL) profits stagnated for the last five years, leading to underperformance of 80%, said the brokerage, adding that foreign institutional investors (FII) ownership and valuations of the stock are at multi year lows.
The brokerage added that with around 70% of $40 billion capex for financial year 2014-2018 (estimate) now behind, profits are finally set for a three-year CAGR (compound annual growth rate) of more than 15%.
Recently the telecom spectrum auction concluded, wherein Reliance Jio Infocomm (a subsidiary of Reliance Industries) acquired spectrum in the 800MHz and 1800MHz bands. It also acquired the right to use spectrum in 13 key circles across India.
The brokerage said RIL's telecom business outlook was also improving. Case study of China Mobile suggests an improved ecosystem for 4G. Customers could get 5-10 times speeds from Reliance Jio at handset pricing of below $100, said the brokerage.
RIL's consolidated net profit fell 4.5% to Rs 5256 crore on 20.2% fall in total income to Rs 95868 crore in Q3 December 2014 over Q3 December 2013.
RIL's has presence in polyester, fibre intermediates, plastics, petrochemicals, petroleum refining and oil and gas exploration and production - to be fully integrated along the materials and energy value chain. RIL is a part of the Reliance Group. Reliance Group's activities span exploration and production of oil and gas, petroleum refining and marketing, petrochemicals (polyester, fibre intermediates, plastics and chemicals), textiles, retail, infotel and special economic zones.
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