Reliance Industries shares slump to 18-month low as oil market volatility bites

Reliance Industries' stock touched an 18-month trough of ₹1,157 on the BSE, a 28% correction from its January peak of ₹1,611.20, and has fallen 26% year-to-date, outpacing the BSE Sensex's 15.5% decline. In Q1FY27 the company posted a 30% revenue increase on a year-on-year basis, driven by rising crude oil prices, yet earnings were constrained by planned maintenance, higher crude premiums, special additional excise duty costs and lower domestic fuel retail recovery.

Strong domestic demand for gasoline, diesel and aviation turbine fuel helped offset some pressure, while geopolitical tensions and OPEC policies kept crude markets volatile. Brokerage firms such as Jefferies and YES Securities maintain buy recommendations, citing tight global refinery capacity, firm petrochemical spreads and Jamnagar's integrated refining advantages, with target prices of ₹1,710 and ₹1,660 respectively. The outlook hinges on the return of Venezuelan crude discounts and the ability to sustain Jamnagar's margin premium.