Buy Call For Reliance Industries With Target Of Rs 2310-2375: Nirmal Bang

Reliance Industries LtdIn its latest research report, Nirmal Bang, an equity research firm said that Reliance Industries, which presently stuck in a band of 2210-2230, can give good returns in the coming days.

The report further stated that, if the counter is successful to breach 2280, then it will create a huge breakout.

Nirmal Bang Research has advised its investors to hold the stock to achieve a target price of Rs 2310-2375.

Besides, the report has also suggested a support level of Rs 2235 for the scrip.

Shares of the company, on Friday (June 05), ended the week at Rs 2211.85 on the Bombay Stock Exchange (BSE). The share price has seen a 52-week high of Rs 2490 and a low of Rs 930 on BSE. Current EPS and P/E of the stock stood at 97.08 & 22.78 respectively.

Reliance Industries (RIL), on June 05, bagged a deal to supply up to 50,000 barrels of petrol on a daily basis to Iran until 2009-end.

However, RIL may have temporarily close exports to the Persian Gulf nation.

During May 2009, the company also pocketed a National Iranian Oil Co (NIOC) tender in order to supply 95-octane gasoline or petrol to Iran and possibly shipped a couple of cargoes under the deal.

On June 02, Ratnagiri Gas & Power (RGPPL) entered into 5-year deal to purchase gas from RIL.

The development will assist the utility, formerly Dabhol Power Project, to attain complete production capacity by March 2010.

Under the contract, RIL’s Krishna Godavari basin will supply 2.7 million metric standard cubic meters per day (mmscmd) of gas to RGPPL.

RIL, on May 28, said that the company has explored two more gas reserves that are near to D-6 in the Krishna-Godavari basin, with estimations putting the natural gas reserves at 20 trillion cubic feet (tcf).

The company, during the last month, announced that it would repay Rs 150 billion or 21% of its total arrears, from its surplus cash during the existing fiscal.