Investing in Reliance Industries – Is It Worth It

Whenever you are searching for share market news on google there is one news always popping out – Some XY brokerage house has invested xx amount in Reliance jio. Now why this is happening ? Why everyone wants a piece of cake in Reliance Jio? and many more question. I have seen many question like what is now Reliance jio share price. Since it is not listed its kinda hard to figure out. Reliance Jio is a subsidiary company of Reliance Industries. The real question is – If I am Investing in Reliance Industries Is It Worth It?

Now in this blog we are gonna talk about the last question I quoted. To understand this you have to first get an idea of what the company is . Like how much diversified and what are the businesses Reliance Industries Into. Now in the big picture you have to know Reliance Industries are mainly in three businesses.

  • Retail(Super stores)
  • Petrol & Chemical business(Included gas )
  • Reliance Jio( Telecom Business)

If you want to know more about their brands you can check this link. So mainly we are gonna talk about Reliance jio in this blog where telling its just a telecom company is not Fair. Lets look at some service which it has to offer to us.

Investing In Reliance Industries – Jio is the key

Now why in the last paragraph I mention its not just a Telecom company. Take a look at the services it has to offer.

Investing In Reliance Industries - Jio Services
Investing In Reliance Industries – Jio Services
Investing In Reliance Industries - Jio Services
Investing In Reliance Industries – Jio Services

Now do you really think its just a telecom company. Hell no!. Whether its Music or Tv. Sports or chat service everywhere you can find a company for it. Reliance jio is gonna influence our life in every possible way in the coming years. So you have to understand the potential behind this subsidiary of Reliance Industries. Technology is the key. Moreover they have opened Jio Mart like Amazon. With #Vocal for Local people are gonna support the services which have a origin from India. Being the second most populated country the amount of revenue Reliance Industries is gonna be off the chart.

  • Ecommerce – Amazon / Jio Mart
  • Retail – Dmart / Reliance Retail
  • OTT platforms – Netflix,Amazon Prime / Jio Cinema
  • Media – News 18 , CNBC etc are Reliance Industries subsidiaries
  • Chat – Whatsapp / Jio chat ( Although they made a deal with Facebook but still I have faith in Mukesh bhai that eventually he will take over that business too – #Aatmanirbharbharat
  • Fiber – Airtel / Jio Fiber
  • Payment – Paytm, Phone pe / Jio pay and many more

Man!!! For every business he has an alternative. Seriously do you really think Amazon is at war? Seriously? Take a look at our Mota Bhai’s businesses then we will talk who’s at war.

Jio IPO Listing at Nasdaq

Now if you have been following stock market news you know our Mota Bhai is planning to get Jio listed on Nasdaq. Now whats Nasdaq?[you can pronounce it as ” NAZZDAAK”. This pronunciation you can get from the famous book “Learn to Earn – by peter lynch”.]

Nasdaq is stock exchange In United States of America where world’s top technology company are listed there whether its Jeff Bezos Amazon , Google’s parent company – Alphabet , Alibaba , Facebook and many more. So Jio can be the next big technology company from India to be listed there. Lets take about valuation

When Facebook invested in Jio the valuation stood at $65.95 billion dollar and with the investment coming one after another it is around $70 billion right now. Analyst have predicted that Jio will be listed at $100 billion on Nasdaq. Now the real question is How will I get benefited if I cannot take a part in Reliance Jio IPO. You must be furious right now ! It happened with me also. How can mota bhai cannot let Indians participate in growth story of Reliance Jio. Now certainly there is catch here.

  • You have to to understand this scenario.
  • If jio gets listed on Nasdaq it doesn’t mean the value of Jio will get removed from Reliance Industries.
  • Instead you have to think like this
  • Reliance Industries is the parent company of Jio.
  • If the valuation of Jio increases same will happen with Reliance Industries.
  • Why? Because Mukesh Ambani holds the ownership of Jio through Reliance Industries.
  • Now who has the shares of Reliance Industries?
  • “We” right! We have the shares of its parent company.
  • Superb game Mota bhai ! He will take money from America and invest in India. As the jio valuation increases In America so will happen with Reliance Industries.

Aap Chronology Samjhiye”

Fundamentals of the Company

Lets take a look at the fundamentals of the company.

Investing In Reliance Industries - Fundamentals
Investing In Reliance Industries – Fundamentals
  • The company has an efficient Cash Conversion Cycle of -31.34 days.
  • The company has shown a good revenue growth of 27.44% for the Past 3 years.
  • Company has a good cash flow management; CFO/PAT stands at 1.16.
  • The company has a high promoter holding of 50.07%.

So In the end I just wanted to convey you all a message that how you can invest in jio indirectly and how is it beneficial for you guys if jio gets listed on Nasdaq and whether investing now is it worth it?

Hell yes!

Now its your money and decision whether you used invest or not but still I think there is win-win position for everyone who owns a bit in Reliance Industries.

Leave a Comment