How Has The RIL Stock Reacted To The AGM In The Past?

NDTV Profit

27 Aug 202403:12

Summary

TLDRThe script from 'India Market Open' anticipates a steady market with a focus on banks and the Reliance AGM on August 29th. Expectations are low for significant shareholder value announcements, but updates on potential listings of Geo platforms, retail ventures, and new energy are expected. The digital business may reveal details on the Disney+Hotstar venture, and the new energy segment could provide a timeline for solar module investments. The chemical and oil-to-gas segments are unlikely to see major news, but the stock's performance post-AGM meetings has historically been mixed, with declines in most cases.

Takeaways

📅 The 47th Annual General Meeting (AGM) of Reliance Industries is scheduled for August 29th at 2 p.m.
🔍 The market is not expecting significant announcements regarding unlocking shareholder value at the AGM.
🌐 The company may provide updates on potential listings of Jio Platforms, Reliance Retail Ventures, and Reliance New Energy.
🛒 The retail segment could see future launch formats and possible investment into the Quick Commerce segment.
💄 Reliance is exploring the beauty and apparel segment and may announce partnerships with global players like Shein.
🎥 More details on the Disney+ Hotstar combined entertainment firm are expected, which has been in the news recently.
🌞 The company's new energy business has seen slow progress on its 10 billion investment, with only 2 billion utilized so far.
⏳ A clear timeline for the fully integrated solar module ecosystem is anticipated but not yet confirmed.
🔋 The company is expected to confirm timelines for the battery gigafactory by 2026 and explore manufacturing in the wind energy segment.
🧪 The all-to-chemical segment, a cash earner for the company, is unlikely to see major announcements but may discuss supply chain routes and crude supply deals.
📉 Historical data shows that Reliance shares have declined on most AGM days, with the stock falling in seven out of the last 10 annual meetings.

Q & A

What is the expected market trend for the morning after the Reliance AGM announcement?
-The market is expected to be flat to slightly higher, with banks and Reliance being in focus.
When is the 47th Annual General Meeting (AGM) of Reliance Industries scheduled to take place?
-The 47th AGM of Reliance Industries is scheduled for August 29th at 2 p.m.
Why might the street not be expecting much from the Reliance AGM in terms of excitement?
-The street might not be expecting much because some key listings that the company has planned over the years might get postponed.
What is the potential update on the listings of Geo platforms, Reliance Retail Ventures, and Reliance New Energy?
-The company may provide information on potential listings of these platforms but is not expected to make any major announcements regarding unlocking of shareholder value.
What new retail segment initiatives might be announced during the AGM?
-The street is likely to see future launch formats and possible investment into the Quick Commerce segment, along with potential forays into the beauty and apparel segments.
What is the expected update on the Disney+Hotstar combined entertainment firm?
-More detailed information on the Disney+Hotstar combined entertainment firm, which has made headlines, is expected to be provided.
How has the investment roll-out of the 10 billion in the new energy business progressed?
-The investment roll-out has been progressing slowly, with only 2 billion out of the 10 billion being used so far.
What is the impact of the decrease in solar module prices on the sector?
-The decrease in solar module prices, which are more than 50% down at 2022 values, is a headwind for the sector.
What are the expected timelines for the battery gigafactory and the manufacturing of wind blades?
-The company is expected to confirm the timelines for the battery gigafactory by 2026 and also expected to foray into the manufacturing of wind blades in the wind energy segment.
What is the current status of the all-to-chemical segment, which is the cash earner business for Reliance Industries?
-The all-to-chemical segment is unlikely to see any major announcements, but there might be more talks about supply chain routes, crude supply deals, and more.
How has the stock performance of Reliance Industries been during the last 10 annual general meetings?
-The data shows that Reliance shares have declined on most ASM days, falling in seven out of the last 10 annual general meetings, with the script declining as much as 6.2% in 2023.

Outlines

00:00

📈 Market Expectations and Reliance AGM Overview

The script discusses the anticipation of a flat to slightly higher opening for the Indian market, with a focus on banks and a possible recovery for OMCs following a sell-off. The spotlight is on Reliance's upcoming 47th Annual General Meeting (AGM) scheduled for August 29th. The market is not overly excited, possibly due to the lack of major announcements expected in terms of unlocking shareholder value. However, there is interest in potential updates on the company's planned listings for Geo platforms, Reliance Retail Ventures, and Reliance New Energy. While no significant announcements regarding capital security are anticipated, the AGM may provide insights into future retail formats and potential investments in the Quick Commerce segment, as well as partnerships with global players in the beauty and apparel sectors. Additionally, the script hints at further details on the Disney+Hotstar combined entertainment firm and updates on the new energy business, including investments and the roll-out of a fully integrated solar module ecosystem.

Mindmap

Keywords

💡India Market

The term 'India Market' refers to the financial market in India, where stocks, bonds, and other securities are traded. In the context of the video, it is mentioned that the market is expected to open flat or slightly higher, indicating a stable or slightly positive start to the trading day. This sets the stage for the discussion on the performance and expectations of the market and specific companies within it.

💡Annual General Meeting (AGM)

An Annual General Meeting is a yearly meeting of a company's shareholders, where key decisions are discussed and made. The script mentions the 47th AGM of Reliance Industries, which is a significant event for the company and its stakeholders, as it often includes updates on business strategies and financial performance.

💡Shareholder Value

Shareholder value refers to the economic value created for the owners of a company, typically measured by the market capitalization of the company. In the script, it is mentioned that there may not be major announcements regarding unlocking shareholder value, suggesting that there might not be significant news that would directly impact the company's stock price or the wealth of its shareholders.

💡Geo Platforms

Geo Platforms is a term that could refer to geographical information systems or platforms that provide services related to geographic data. In the script, it is suggested that the company may provide information about potential listings of such platforms, indicating that they could be planning to go public or raise capital through the stock market.

💡Reliance Retail Ventures

Reliance Retail Ventures is a subsidiary of Reliance Industries, focusing on the retail business in India. The script mentions potential future launch formats and possible investments in the Quick Commerce segment, showing the company's strategic direction and expansion plans in the retail sector.

💡Digital Business

The digital business refers to the operations and revenue streams generated through digital channels and platforms. The script discusses the details of a combined entertainment firm with Disney and the potential for more information to be shared during the AGM, highlighting the company's involvement and growth in the digital entertainment space.

💡New Energy Business

The new energy business pertains to ventures in renewable energy sources such as solar, wind, and other sustainable power solutions. The script mentions investments and the roll-out of a fully integrated solar module ecosystem, indicating the company's commitment to and expansion in the renewable energy sector.

💡Battery Gigafactory

A battery gigafactory is a large-scale manufacturing plant dedicated to the production of batteries, often for electric vehicles or energy storage systems. The script expects confirmation of timelines for such a facility by 2026, showcasing the company's long-term plans in the energy storage industry.

💡Wind Energy Segment

The wind energy segment involves the development and operation of wind farms and related technologies. The script suggests that the company may announce further investments in this area, including manufacturing wind blades, which is part of the company's broader strategy in the renewable energy market.

💡All-to-Chemical Segment

The all-to-chemical segment likely refers to the chemical business of the company, which may include the production of various chemical products. The script indicates that this segment is a cash earner for the company, suggesting its importance to the overall financial health and profitability of the business.

💡Stock Performance

Stock performance refers to the change in the price or value of a company's shares over time. The script provides historical data on Reliance Industries' stock performance during AGMs, noting that the stock has declined on most of these occasions, which could influence investor sentiment and expectations for the upcoming AGM.

Highlights

India's market is expected to open flat to slightly higher.

Banks and OMCs are in focus for potential recovery.

Reliance AGM is anticipated with no significant market excitement.

47th Annual General Meeting of Reliance is scheduled for August 29th at 2 p.m.

No major announcements expected in terms of unlocking shareholder value.

Information on potential listings of Jio platforms, Reliance Retail Ventures, and Reliance New Energy may be shared.

Expectations for future launch formats and possible investment in Quick Commerce.

Reliance's venture into beauty and apparel segments with potential global partnerships.

Details on Disney+ Hotstar combined entertainment firm are expected.

Slow progress on the 10 billion investment roll out, with only 2 billion utilized.

A clear timeline for the fully integrated solar module ecosystem is anticipated.

Solar module prices have dropped significantly, posing a challenge for the sector.

Timelines for the battery gigafactory by 2026 and manufacturing of wind blades are expected to be confirmed.

No major announcements expected in the all-to-chemical segment, which is a cash earner for the company.

Updates on the new Krishna Godhavi Basin wells in the oil to gas segment.

Headwinds from the ban on single-use plastic affecting the segment's earnings.

Historical stock performance shows a decline on most AGM days, with the 2019 AGM being an exception due to a key deal announcement.