Jio Financial Services shares have been consolidating in the charts, trading between Rs 325 and 350 in the last two weeks. However, the stock dipped by nearly 2% on Thursday’s opening bell, despite Sensex and Nifty surging 275 and 60 points, respectively.
The Asian stock markets spiked today after the Federal Reserve announced a 50 bps interest rate cut. The rate cuts come after a four-year hiatus, and inflation is cooling down at 2.53%.
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Analyst’s Insights And Stock Performance
Analyst’s Recommendation
Returning to Jio Financial Services shares, Shiju Koothupalakkal, Technical Research Analyst at PL Capital, called for the stock. The analyst explained that the stock has an upside potential of 10% to 20%. Every price dip from here on could be a buying opportunity for investors, he said.
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Potential Upside And RSI Indicator
According to the analyst, Jio Financial Services shares could spike to Rs 407 after the consolidation phase. The stock’s RSI is rising, leading to a potential upside. However, he urged investors to keep a stop loss at Rs 333.
“With the RSI on the rise, we anticipate further rise, with immense upside potential visible from the current rate. With the chart technically well placed, we suggest buying the stock for an upside target of ₹407, keeping the stop loss of ₹333 level,” said Koothupalakkal on the Jio Financial Services shares.
Jio Financial Services Shares: A Good Stock For The Long-Term
Source: iStock
Billionaire conglomerate Mukesh Ambani’s Reliance Industries owns Jio Financial Services Ltd, which was launched in August 2023. The stock began trading at 214 and reached a high of 394 in May this year.
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The stock looks solid for long-term holders as it is teaming up with trillion-dollar asset management firm BlackRock. Investors who hold on to the stock for the long term could gain profits, as it could turn out to be a multi-bagger.