Shares of Reliance Industries (RIL) hit a more than the five-month high of Rs 2,693 in intraday trade on Monday, surging 3% on the BSE. Regarding market value, India’s largest listed company rose for a third straight day, rising 5.4% over the same period. The stock was quoted at its highest level since June 10, 2022, hitting an all-time high of Rs 2,855 on April 29.

After underperforming over the past three months (up 3%) and six months (up 4%), RIL has outperformed the broader market over the past week (up 5.5%) and one-month (up 6.5%) markets.

According to media reports, Reliance Retail is planning to enter the artefact business. Its first artisan-focused store, “Swadesh”, will be in Delhi’s Connaught Place.

Entering the gift space presents a huge opportunity for Reliance as the space is largely unorganised, with only a few organised players operating pan-India. The key monitorable metrics will be the product categories and price points the company is targeting. The ability to source goods at prices that can bring end consumer prices in line with existing competition is critical to business growth, ICICI Securities said in a report.

Meanwhile, analysts at BNP Paribas have a ‘buy’ call on RIL with a target price of Rs 2,765 per share. According to the brokerage firm, the subscriber mix in the telecom sector continues to improve. However, there are huge opportunities for future upgrades, and one-third of industry users still use feature phones (including JioPhone).

As premium consumers move to 5G, their data usage will increase, which we believe presents an opportunity to upgrade to larger data packages. Despite price hikes, the industry’s user base remains stable, which we believe will give operators the confidence to increase tariffs further. The brokerage expects Airtel and Jio to continue delivering strong revenue growth and operating leverage, the brokerage said.