Oil-to-telecom major Reliance Industries on Friday became the first Indian company to hit 9 lakh crore in market capitalisation.
The company achieved this milestone ahead of its September quarter result, which was set to be announced after trading hours.The stock ended up 1.4 per cent at 1415.30 after touching a record high of 1428.
At close, the companys market cap stood at 8.97 lakh crore while the market cap of TCS the second most valued Indian company-stood at 7.7 lakh crore.
So far this year, shares of Reliance Industries have surged over 25 per cent compared with a gain of 7 per cent in the benchmark Nifty index.RIL was also the first company to reach the 8 lakh crore mark in August last year, and the $100 billion-mark in market capitalisation in 2007, a feat which was repeated last July.RIL can become the first Indian company to achieve a market capitalisation of $200 billion in the next 24 months, said Bank of America Merrill Lynch in a note on Wednesday.This milestone is likely to come on the back of RILs new commerce venture and fixed broadband business, said BofAML.Axis Capital said on Thursday that Reliance Industries is a $220-billion market cap entity in the making by FY24, implying a compounded annual return of 17 per cent over four years.A combination of diminishing headwinds and rising tailwinds shall drive this growth Investor concerns on debt levels seem overdone, as RIL likely to generate over 4.4 trillion (4.4 lakh crore) in cash flows over FY19-24 and Tower InvIT to fetch 118 billion (11,800 crore), said Axis Capital.
The brokerage expects the stock to double in four years to 2,790.