HDFC Securities maintained its Neutral rating on Reliance Industries in the long term with a target price of Rs 1,562.
The stock closed at Rs 1,532, down 3.1% on Monday while the BSE Sensex closed 416.46 points (0.99%) down at 41,528.91.Company FinancialsFor the quarter ended 31-12-2019, the company has reported consolidated sales of Rs 152939.00 crore.
The company has reported net profit after tax of Rs 11784.00 crore in the latest quarter.
The companys top management includes Dr.Raghunath A Mashelkar, Prof.Ashok Misra, Mrs.Nita M Ambani, Mr.Yogendra P Trivedi, Mr.Raminder Singh Gujral, Mr.Pawan Kumar Kapil, Mr.P M S Prasad, Mr.Nikhil R Meswani, Mr.Mukesh D Ambani, Mr.Mansingh L Bhakta, Mr.Hital R Meswani, Mr.Adil Zainulbhai, Dr.Shumeet Banerji, Prof.Dipak C Jain.
Company has D T S - Associates as its auditors.
As on 30-09-2019, the company has a total of 6,339,123,229 shares outstanding.
Investment RationaleAccording to the brokerage, RIL posted underwhelming results in third quarter as operating profit reported was 10% lower than HDFC Securities estimates.
Weak margins across petrochemical products and higher operating expenses have impacted the earnings adversely.
Further, the refining and petrochemical segments face demand slack, given the impending capacity additions in 2020.