Going by analysts at multinational investment bank Macquarie, this may just be the beginning of the downfall for the oil-to-telecom conglomerate.

Reliance Industries Ltd’s share price fell 2% on Wednesday morning once again to trade at a low of Rs 1,892 apiece.

This is for the second consecutive trading session that Mukesh Ambani’s RIL is among the worst-performing stocks on Sensex.

Going by analysts at multinational investment bank Macquarie.

This may just be the beginning of the downfall for the oil-to-telecom conglomerate.

In a recent report, Aditya Suresh and Abhinil Dahiwale of Macquarie.

Cut their FY22-23 EPS estimates by 3% for RIL with a 12-month target price of Rs 1,350 per share.

The report said that RIL’s headline EPS growth in the October-December quarter was an impressive 9% on-year basis.

This, according to Suresh and Dahiwale, was supported by 1% effective.

Tax rate and $106 million investment gain booked in the retail division.

“Adjusting for this and adding back an impairment in E&P.

On our estimates underlying EPS down 30% on-year,” they added.

In the current fiscal year, it expects core EPS of RIL to fall 10% to nearly Rs 60. During the October-December quarter results, RIL consolidated the refining, chemicals, and fuel marketing businesses into a new ‘Oil-to-Chemicals’ (O2C) division.

However, the firm refrained from reporting gross refining margins and the volume of petrochemical production.

On the retail side, the report said that RIL’s core retail revenue will increase to $50 billion by the financial year 2030. EBIT margins expected to jump from 4.5% in Financial Year 2021 to 5.5-6% in financial year 2022-23. “A key downside risk to this assumption is the discounting and fulfillment options RIL offers for JioMart,” the report said. In the latest quarterly results, RIL did not provide any category-wise revenue and margin.