Jio Financial Services Gains 14% to Reach Record High Market Cap of ₹2 Lakh Crore

Jio Financial Services saw a notable surge as its share price rose by more than 14% to hit a record high, reaching ₹347 on the . This marks the fifth consecutive session of gains for the company. The market capitalization of Jio Financial Services crossed ₹2 lakh crore, reflecting a substantial rise in its valuation.

The financial services entity, a demerged segment of Reliance Industries Ltd (RIL), has been making significant strides since its listing on the stock exchanges on August 21, 2023. Reliance Industries also experienced a 0.9% increase in its share price, reaching a record high of ₹2,989.40, with a market capitalization exceeding ₹20.1 lakh crore.

Jio Financial Services operates through several consumer-facing subsidiaries including Jio Finance Limited (JFL), Jio Insurance Broking Limited (JIBL), and Jio Payment Solutions Limited (JPSL), in addition to a joint venture known as Jio Payments Bank Limited (JPBL). The company recently formed a partnership with the global asset manager BlackRock to establish an asset management firm with a joint investment of $300 million.

Rajesh Palviya, SVP of Technical and Derivatives Research at Axis Securities, highlighted the technical outlook of Jio Financial Services. He emphasized the breakout in the stock’s price, the positive momentum indicated by the Bollinger band buy signal, and the strong positioning of the stock above key moving averages such as the 20, 50, and 100-day simple moving averages.

In the fiscal quarter ending December 2023, Jio Financial Services reported a consolidated net profit of ₹293.82 crore, showing a decline from the previous quarter figure of ₹668.18 crore. The company’s revenue from operations in Q3FY24 decreased to ₹413.61 crore from ₹608.04 crore in the preceding quarter.

Currently, Jio Finance shares are trading at ₹327.70 on the BSE, with an 8.13% increase from the previous session. The stock is showing strong performance with support and resistance levels identified by technical analysts for potential future movements.