Key Highlights: 

  • Reliance Industries touch over Rs 1,500 per piece
  • RIL surpasses Morgan Stanley's target of Rs 1,506 per piece
  • RIL surpasses TCS in market valuation

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Reliance Jio (RJio) has once again helped Reliance Industries Ltd (RIL) to scale new peaks after the telecom arm announced new 4G plans to take on Airtel, Vodafone and Idea Cellular. 

On Wednesday, RIL shares touched a new record of Rs 1,525 per piece – a level which was last seen on January 08, 2008.

RIL also surpassed even Tata Consultancy Services (TCS) in terms of market capitalisation and now holds the top spot. 

According to BSE data, market cap of RIL now stands at Rs 491,799.32 crore, followed by TCS at Rs 473,192.75 crore, HDFC Bank at Rs 432,553.96 crore, ITC at Rs 401,507.54 crore and HDFC at Rs 261,473.48 crore.

ALSO READ: Reliance Jio announces unlimited services for Rs 399 for 3 months

With this blockbuster performance, RIL has also surpassed the target of Morgan Stanley which had revised a new price target of Rs 1,506 per share.

Mayank Maheshwari, Rakesh Sethia and Amruta Pabalkar, analysts at Morgan Stanley had said,  “RIL stock has underperformed peers by 60ppt in the past four years as its returns lagged peers'. This is set to change as earnings start from energy projects and telecom monetisation gathers pace. We raise our price target to factor in higher energy earnings and increased clarity on telecom investments."

In a span of four years, RIL has invested about $25 billion in Reliance Jio. 

ALSO READ: 5 reasons why Morgan Stanley thinks Reliance Industries shares will reach Rs 1506-level.

Considering, the data tariff, pricing war under the telecom industry presently, MS believes the investment in RJio would reach at $34 billion by end of FY18.