Jio Financial Share Price: Should You Buy This Reliance Group Stock Before Q1 Results on Monday?

Jio Financial Services will be in the spotlight on Monday as the company, part of the Reliance Group, has a board meeting scheduled for July 15, 2024. During this meeting, they will review and approve their standalone and consolidated unaudited financial results for the first quarter (Q1) of 2024. The company announced this date last week through an exchange filing.

Expectations from Q1 Results

Stock market experts are optimistic about Jio Financial Services’ performance. Manish Chowdhury, Head of Research at StoxBox, believes the company will report impressive Q1 results for FY25, driven by strong operating income and investment income. This should lead to healthy profit after tax (PAT) growth on a quarter-over-quarter (QoQ) basis.

Strategic Move

Chowdhury noted that Jio Financial Services is making strategic moves, such as launching digital products and expanding its ecosystem, which focuses on future growth. The company plans to offer products like loans against shares and mutual funds, leveraging Jio’s extensive user base, which could be significant growth drivers in upcoming quarters.

Additionally, with the Non-Banking Financial Company (NBFC) receiving approval from the Reserve Bank of India (RBI) to become a core investment company, Jio Financial Services is well-positioned to unlock the value of its investments. Overall, Chowdhury expects the company to report strong numbers in the forthcoming quarter.

Technical Outlook and Share Price Target

Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, shared his insights on Jio Financial Services’ share price. He noted that the stock is on the verge of a fresh breakout at ₹260 per share. If it breaks this level, the stock could reach a new peak, touching the ₹290 to ₹295 zone. Dongre advises those holding Jio Financial shares to maintain a stop loss at ₹205. If the stock decisively breaks above ₹260, holders can upgrade their trailing stop loss to ₹240, aiming for a near-term target of ₹295.

For fresh buyers, Dongre suggests waiting for the breakout. Once the stock breaks above ₹260, new buyers can consider purchasing it with a near-term target of ₹295, maintaining a stop loss of ₹240 per share.