Reliance Power Shares Jump 18% To ₹29.40, AI-Focused Subsidiary Revamp Ends 4-Day Losing Streak
Reliance Power shares surged nearly 18 percent toRs 29.40 after the company announced an AI-focused business expansion through subsidiaries. The rally snapped a four-day losing streak as investors reacted positively to its push into artificial intelligence and technology-driven services.
Reliance Power shares surged nearly 18 percent to Rs 29.40 after the company announced an AI-focused business expansion through subsidiaries. |
Mumbai: Shares of Reliance Power rallied sharply on Wednesday, rising nearly 18 percent during intraday trade after the company announced its entry into the fast-growing artificial intelligence (AI) and new-age technology space.
The stock surged to an intraday high of Rs 29.40. At around 1:11 pm, the stock was trading at Rs 27.86, still up 12.16 percent or Rs 3.02, compared with the previous close of Rs 24.84.
This strong rally also ended the stock’s four-session losing streak, attracting fresh investor interest.
AI Push Drives Sentiment
In a regulatory filing, Reliance Power said it has taken enabling steps to expand into AI and technology-driven activities through its subsidiaries.
As part of this move, the company added business objects related to AI and technology-enabled services within its corporate framework.
The company also renamed four subsidiaries to reflect its new strategy:
- Reliance AI Green Power Private Limited
- Reliance AI Power Private Limited
- Reliance AI Data Control Private Limited
- Reliance AI Data C Private Limited
This signals the company’s intention to explore opportunities in AI-linked infrastructure, data management and digital services.
Intraday Performance
Reliance Power opened at Rs 25.14, slightly above its previous close.
Strong buying pushed the stock higher through the session. It touched a day’s low of Rs 24.97 before jumping sharply.
The company currently has a market capitalisation of around Rs 11,520 crore. Its 52-week high is Rs 70.90, while the 52-week low stands at Rs 20.17.
Financial Performance
Despite the stock rally, the company’s recent financial performance remained weak.
Reliance Power reported a consolidated net loss of Rs 494 crore in Q4, compared with a profit of Rs 125.57 crore in the year-ago quarter.
Total income also declined to Rs 1,946.33 crore from Rs 2,065.64 crore.
Market Outlook
Analysts believe the sharp surge was largely driven by optimism around the company’s AI strategy.
However, investors will closely watch whether Reliance Power can convert this strategic shift into meaningful revenue and improve earnings in the coming quarters.
Disclaimer: Stock market investments are subject to market risks. Please consult a financial advisor before making any investment decisions.
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