Reliance Share Crash: There was devastation in Reliance shares, 68 thousand crores of investors lost, know the big reason

RIL Stock Price Today: The first day of the week for the stock market i.e. Monday is a ‘Black Monday’ for the investors of Reliance Industries (RIL). As proved. This sudden tsunami in Reliance’s shares after the third quarter results not only shook the company’s market cap but also brought the entire stock market into the red.

Investors of Reliance Industries Limited (RIL), India’s largest company by market cap, led by the country’s richest man Mukesh Ambani, suffered a major blow on Monday. On the first trading day of the week, Reliance’s stock fell heavily as soon as the market opened. A huge fall of about 4.20 percent was recorded in the stock of Reliance in the early trade itself. This fall was so sharp that investors did not even get a chance to recover and within no time billions of rupees were lost in the market.

Market cap breach: huge loss of Rs 68,000 crore

This fall in the shares of Reliance has had a direct and devastating impact on the market capitalization of the company. When the market closed on Friday, the market cap of Reliance was Rs 19,72,493.21 crore, which fell to Rs 19,04,996 crore on Monday. Thus, there has been a huge decline of Rs 68,000 crore in investors’ wealth within just one day. During trading on Monday, RIL shares opened at Rs 1450.60 compared to its previous closing of Rs 1461 and then slipped to the level of Rs 1406.30.

Impact of third quarter results visible

Market experts believe that the main reason for this fall in Reliance shares is the third quarter results announced by the company on Friday. Reliance had announced its quarterly results after the market closed on Friday. Although the company has made profits, due to market expectations and future projections, investors started selling on a large scale on Monday. It is noteworthy that in the last one year, Reliance has given returns of about 15% to investors, but the latest fall has increased the concern of short-term investors.

Banking sector also in trouble with Reliance: ICICI Bank is in bad shape

Not only Reliance, but also the banking sector giant ICICI Bank was hit by this fall in the market. Shares of ICICI Bank also slipped to Rs 1360 on Monday compared to its previous close of Rs 1413, reducing its market cap to Rs 9.80 lakh crore. Apart from this, selling was also seen in shares of big companies like Wipro, Titan and TCS. Amidst this chaos, BSE Sensex was trading with a fall of 500 points and Nifty with a fall of more than 150 points.

What are market experts saying? Investment opportunity or threat?

Despite this huge fall in the stock, many brokerage firms are expressing confidence in Reliance. PL Capital gave a ‘Buy’ rating to Reliance, giving a target price of Rs 1,683; The rating has been maintained. He believes that the company’s new energy projects are in the right direction and preparations for Jio IPO will support the stock in the future. At the same time, brokerage firm Nuvama has advised to buy it with an even higher target of Rs 1,808. Experts suggest that investors should focus on a long-term perspective instead of taking decisions in panic.