Shares of Jio Financial Services saw an uptick ahead of the announcement of its Q4 results for the 2025 fiscal year. The Reliance Group subsidiary reported modest profit growth for the quarter ending March 2025. While the profits showed slight year-on-year improvements, the company experienced a significant surge in Assets Under Management (AUM), marking a crucial milestone. Experts have expressed optimism about the stock, suggesting that any potential dips in its share price could present a buying opportunity, with a long-term target price of ₹350 per share.
Modest Profit Growth and Increased AUM
For Q4 FY25, Jio Financial reported a consolidated net profit after tax (PAT) of ₹316 crore, a 1.8% increase compared to ₹311 crore in the same period the previous year. The growth in profit, though modest, is seen as a positive sign in the company’s overall trajectory. For the entire fiscal year, the company’s PAT showed a slight increase to ₹1,613 crore from ₹1,605 crore in FY24. However, one of the most significant highlights from the results is the dramatic rise in the company’s AUM, which surged to ₹10,053 crore as of FY25. This growth is a clear indicator of the company’s expanding client base and operations, considering that its AUM was only ₹173 crore the year before.
Additionally, Jio Financial made a notable move by announcing its first-ever dividend of ₹0.50 per share, reinforcing its commitment to creating value for shareholders. According to Sugandha Sachdeva, founder of SS WealthStreet, this dividend declaration reflects the management’s confidence in the company’s future cash flows.
Stock Price Outlook and Technical Analysis
Stock market experts have projected that Jio Financial’s share price could open with a gap-up on Monday, driven by the positive market reaction to its Q4 results. Mahesh M Ojha, AVP at Hensex Securities, advised investors to hold onto the stock with a short-term target of ₹265, while setting a stop loss at ₹238. He highlighted that the stock is showing signs of recovery after a prolonged correction and could be on the verge of a trend reversal.
Further, Sugandha Sachdeva believes that the stock has the potential to rise significantly over the long term. She noted that after a period of consolidation, the stock could see substantial growth, with targets ranging from ₹320 to ₹350 over the next year. Support levels are crucial, with ₹215 and ₹195 serving as important benchmarks for any potential downside.
