Jio Financial Services Ltd. has been in the spotlight lately, especially on October 16, 2024, when its share price was reported at ₹338.80. This marks a decline of approximately 1.97% from its previous close of ₹345.60. Investors are keenly watching the stock for further developments, as it has shown significant fluctuations in recent months.
Main Points
- 1 Current Share Price and Market Performance
- 2 Historical Performance
- 3 Jio Financial Shares Revenue and Profitability
- 4 Jio Financial Shares Key Financial Metrics
- 5 Expected Trends and Price Targets
- 6 Jio Financial Shares Technical Indicators
- 7 Latest News and Developments
- 8 Jio Financial Shares Peer Comparison
- 9 Jio Financial Shares Investment Sentiment
As of October 16, 2024, Jio Financial Services shares are trading at ₹338.80, down from ₹345.60. Over the past month, the stock has seen a decrease of about 2.42%. The company has a market capitalization of approximately ₹215,249 crore, with a price-to-earnings (P/E) ratio of around 135.78 and a price-to-book (P/B) ratio of 1.58.
Historical Performance
The stock has experienced considerable volatility over the past year:
- 52-week high: ₹394.70
- 52-week low: ₹204.25.
Jio Financial Services reported impressive annual revenue growth of 1322.97% for the fiscal year ending March 31, 2024, significantly outpacing its three-year compound annual growth rate (CAGR) of 26.79%. The total revenue for FY 2024 was approximately ₹1,854.68 crore, with a net profit after tax (PAT) of ₹1,604.55 crore.
- Net Profit Margin: 95%
- Basic Earnings Per Share (EPS): ₹2.53
- Operating Profit Margin: 82.94%.
Expected Trends and Price Targets
Market analysts are cautiously optimistic about Jio Financial Services’ future performance. The stock’s recent movements suggest that it may stabilize around the ₹330-₹340 range unless significant market changes occur. Analysts suggest that if the company can leverage its various business verticals effectively, it could see substantial growth in the coming quarters.
Recent technical analysis indicates a 50-day moving average crossover on October 4, 2024, which historically leads to an average price decline of about 2.66% within the next month based on past performance. Investors should monitor this trend closely.
Latest News and Developments
Recent updates highlight Jio Financial Services’ strategic moves to increase its stake in Jio Payments Bank, which has positively impacted investor sentiment. The company aims to diversify its financial services offerings and strengthen its market position.
In comparison to its peers in the financial sector, Jio Financial Services is trading at lower multiples:
- Bajaj Finserv: P/E ratio around 20.
- Cholamandalam Investment & Finance Company: P/E ratio around 15.
This suggests that Jio Financial Services may be undervalued relative to its competitors if it can capitalize on its growth potential.
Investor sentiment remains mixed as some analysts recommend long-term holding strategies due to the stock’s potential for future growth driven by Jio’s backing and diversified business model. Others caution against short-term trading due to market volatility.
