CLSA maintains buy on RIL, target price Rs 2010

CLSA has maintained buy rating on Reliance Industries with a target price of Rs 2,010. Reliance should close announced asset sales of $34 billion and possibly another $7-10 billion in 2020, said CLSA. A telecom tariff hike, retail growth and a petcoke gasification start should drive a 27% YoY rise in FY21 EPS and lead to a 160 bps ROE jump — the biggest in 15 years — even with possible upside to estimates. With Jio’s subscribers rising over 400 million and Reliance starting its offline-to-online retail, 2020 should show a grand plan in action, said CLSA. The stock ended flat at Rs 1,547.70 on Friday.