Shares of Reliance Infra rise 17% in 3 sessions. What’s behind the wave?

Shares of Anil Ambani-led Reliance Infrastructure rose as much as 5% to an intraday high of Rs 175 on Friday, November 28, recovering after six straight sessions of declines. With today’s progress, the stock has now posted gains for three consecutive sessions, with a cumulative gain of 17% over this period. The stock ended 3.14% higher at RFs 172.2 apiece on the BSE on FridayDespite this recent rise, the stock has remained negative over the past month, down nearly 20%. The company boasts a market capitalization of over Rs 7,000 crore. The 52-week range extends from a high of Rs 425, still leaving the stock about 60% below its yearly peak.

Reliance Infrastructure is currently trading at remarkably low valuations, with a P/E of 2.11 and a P/E of 0.26. While such low numbers may indicate an undervalued opportunity, they may also indicate lingering concerns about the company’s underlying fundamentals.Snapshot of second quarter performance

In Q2FY26, Reliance Infrastructure Ltd reported total income of Rs 6,309.48 crore, up 4.5% from Rs 6,035.59 crore in Q1FY26. However, year-on-year revenues declined 14.1% compared to Rs 7,345.96 crore in Q2FY25.

Profit after tax stood at Rs 2,575.30 crore, up 743.1% quarter-on-quarter from Rs 305.45 crore, but fell 38.6% year-on-year from Rs 4,194.63 crore. The company’s earnings per share for the quarter stood at Rs45.27, reflecting a sharp recovery from Rs2.12 in Q1FY26, though still lower than Rs103.06 a year earlier.Stock ownership patternThe promoters maintained their stake at 19.05% in the September 2025 quarter, indicating no change in their ownership position. Investments in investment funds increased from 0.29% to 0.35% in the same quarter. This slight increase indicates that domestic institutional investors have shown some more confidence in the shares.

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Foreign institutional investors (FII/FPI) have significantly reduced their stake, from 10.26% to 7.07%. This signals a notable pullback from foreign investors, which can sometimes reflect broader concerns about the company or market sentiment.

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