Jio Financial Stock Analysis: A Closer Look at the Numbers
Jio Financial Services Ltd shares had an eventful day in the market, opening higher on Tuesday but ultimately slipping into the red. Starting at Rs 229.05 on the BSE, the stock gradually declined by 1.01 per cent, hitting a low of Rs 226.10. Despite this dip, the stock has managed to climb 4.15 per cent from its one-year low of Rs 217.10, which was recorded on February 17, 2025.
Earnings Performance and Expert Insights
In terms of earnings, the company saw a marginal 0.32 per cent increase in its consolidated net profit for the December 2024 quarter. In Q3 FY25, the profit stood at Rs 294.78 crore, compared to Rs 293.82 crore in the same period the previous year. Additionally, revenue from operations saw a 5.98 per cent growth, reaching Rs 438.35 crore in Q3 FY25 from Rs 413.61 crore in the corresponding period last fiscal.
Market experts have weighed in on the future outlook for Jio Financial shares. According to Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, investors could consider adding the stock to their portfolio with a long-term perspective. He noted that the company’s expansion into financial services, stock broking, and asset management could bode well for its growth.
Technical Analysis and Investment Recommendations
From a technical standpoint, experts have highlighted key support and resistance levels for Jio Financial shares. The stock is currently trading near its 52-week low, with potential support at the 220-210 range. To trigger further upside potential, a decisive close within the Rs 240-250 range is deemed necessary.
Osho Krishan, Senior Research Analyst at Angel One, emphasized the importance of monitoring technical parameters, noting that the stock is currently in oversold territory. He pointed out a strong support level around Rs 220-210, suggesting that sustained buying above Rs 250 could lead to renewed momentum.
Ravi Singh, Senior Vice-President at Religare Broking, recommended a specific entry point for investors, advising them to consider buying the stock around Rs 220 with a target price of Rs 240. He also emphasized the importance of setting a stop loss at Rs 210 to manage risk.
Financial Metrics and Ownership Details
Delving into the financial metrics, Jio Financial boasts a price-to-earnings (P/E) ratio of 274.03 and a price-to-book (P/B) value of 5.85. The earnings per share (EPS) stood at 0.83, with a return on equity (RoE) of 2.13. As of December 2024, promoters held a 47.12 per cent stake in the company, signaling their confidence in its long-term prospects.
In conclusion, while Jio Financial shares have experienced some fluctuations in the market, expert opinions suggest that there may be potential for growth in the long run. Investors are advised to conduct thorough research and seek guidance from financial advisors before making any investment decisions to ensure a well-informed approach to their portfolio management.
