Shares of Reliance Power Ltd. experienced a significant rally, climbing over 18% in recent trading sessions. This sharp increase came after the company disclosed its plans to integrate artificial intelligence (AI) and other advanced technologies into its business framework through its subsidiaries.
The company stated that it has taken steps to incorporate AI and related technology-driven activities, including the adoption of new names for its subsidiaries. These now include: Reliance AI Green Power Pvt Ltd, Reliance AI Power Pvt Ltd, Reliance AI Data Control Pvt Ltd, and Reliance AI Data C Pvt Ltd.
Analyst Insights on Reliance Power's AI Move
Market observers noted that the announcement significantly boosted investor sentiment. Ravi Singh, Chief Research Officer at Master Capital Services, highlighted that the company's entry into the AI space led to strong buying interest and a technical breakout, supported by robust trading volumes.
However, Singh also cautioned that the AI initiative is in its early stages, and its financial impact will take time to materialize. He emphasized that sustained execution and future business developments will be crucial for long-term value creation.
Technical and Financial Overview
From a technical perspective, the stock showed bullish signs on daily charts. According to AR Ramachandran, a Sebi-registered research analyst at Tips2trades, the stock has strong support around Rs 24.97, with a daily close above Rs 29.4 potentially leading to an upside target of Rs 32.8 in the near term. The stock was trading above its short-term simple moving averages (SMAs) but remained below its 150-day and 200-day SMAs, with a 14-day relative strength index (RSI) of 61.09.
Financially, Trendlyne data indicates Reliance Power has a standalone price-to-earnings (P/E) ratio of 955.67 and a price-to-book (P/B) value of 1.26. Its one-year beta stood at 1.78, suggesting higher volatility compared to the broader market. As of March 2026, promoters held a 24.98% stake in the company.