On Tuesday, shares of Reliance Industrial Infrastructure Ltd (RIIL) closed 11.51 percent higher at Rs 1,360.55. Despite the indicated increase, the stock was down 4.03 percent year-to-date (YTD).
The stock saw a high trading activity on the BSE today, with over 1.47 lakh shares changing hands. The result was much higher than the two-week average volume of 15,000 shares. Turnover on the counter was Rs 19.51 crore, with a market capitalisation (m-cap) of Rs 2,054.43 crore.
On technical charts, the counter outperformed the 5-day, 10-, 20-, 30-, 50-, 100-, 150-, and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) was at 64.06. A level less than 30 is regarded as oversold, whereas a value more than 70 is considered overbought.
The company's stock has a price-to-equity (P/E) ratio of 188.81, with a price-to-book (P/B) value of 4.78. Earnings per share (EPS) were at 7.21, with a return on equity of 2.53. Support on the counter might be seen between Rs 1,250 and 1,220. A break above the Rs 1,380-1,400 range is necessary for further gains.
"RIIL's recent volume-backed move resulted in a sloping trendline breakout." The stock appears to be on track to continue its upward trend, with support between Rs 1,250-1,220. On the higher end, Rs 1,380-1,400 appears to be a hard job, and a definitive breach would just set off a new leg of rally," said Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One.
RIIL shares went ex-dividend last week, on June 5. The corporation announced a final dividend of Rs 3.50 per share for the fiscal year 2023–2024. Reliance Industrial Infra primarily builds and operates industrial infrastructure. RIIL is run by Mukesh Ambani, the chairman of Reliance Industries Ltd (RIL).
