The target price implies an upside potential of 36% from current market levels. The company, part of Mukesh Ambani’s Reliance empire, has seen a weak run off late, with shares falling 11% in the last 1 month and about 22% in the last 6 months.
The company’s ‘Reliance Pedigree’ serves as more than just a brand, the domestic brokerage said, adding that it provides a structural capital advantage. This was reflected in the recent preferential issue of warrants to the promoter group, which will infuse Rs 15,700 crore of equity capital, strengthening the company’s balance sheet and supporting long-term growth.
The core investment thesis centers on its ecosystem-led operating advantage, leveraging Jio’s subscriber base of over 500 million and the extensive retail footprint”, Motilal Oswal said in a note dated March 11. “Unlike traditional NBFCs that face high customer acquisition costs, JIOFIN benefits from a lower-cost entry into the daily digital lives of nearly half of India’s population. This captive audience enables hyper-personalized credit underwriting through proprietary AI models that analyze data from telecom and retail behavior, providing a unique risk assessment edge, while operating within regulatory guardrails”, it added.
Here are 4 pillars of growth
1.) Jio Credit – The company has entered a strong phase of AUM expansion, supported by a secured-focused portfolio mix, swift execution, and a conservative risk framework. Growth has been driven by the rapid scaling of secured retail products such as home loans, loan against property (LAP), and loan against securities (LAS), which offer healthy risk-adjusted returns and lower loss volatility during the early stages of balance sheet growth.
Alongside retail lending, JCL has also gradually expanded its corporate and supply chain finance portfolio, helping create a more balanced retail–corporate mix while reducing concentration risk.
2.) Jio Payments Bank – Its business model is built around a digital-first strategy, supported by a phygital distribution network. As of December 2025, the bank operated through a network of around 2.87 lakh BC touchpoints, including both owned and corporate BCs. This network plays a key role in extending banking services to rural and semi-urban regions, facilitating account opening, cash-based transactions, and assisted digital services.Customer engagement levels have continued to rise, reflecting increasing adoption of JPBL as a digital payments platform. As of December 2025, the bank had built a customer base of 3.2 million accounts, while deposits stood at INR 5.1 billion. Both metrics have shown strong traction, with rapid scaling and improving momentum in customer acquisition.
3.) Jio-BlackRock AMC – Within its first year of operations, JB AMC has built meaningful scale by launching a broad range of low-cost passive, cash management, and select active funds. These offerings align with the industry’s shift toward digital onboarding, SIP-led investing, and cost-efficient products. The AMC has onboarded over one million investors so far, of whom around 18% are first-time investors, reflecting its ability to tap into the next wave of retail financialisation.
The long-term growth thesis rests on relatively low customer acquisition costs through the Jio ecosystem, supported by strong product credibility driven by BlackRock’s global investment processes.
4.) Jio Insurance Broking – The company is well positioned to benefit from India’s structurally underpenetrated insurance market, where protection gaps remain significant across life, health, and SME segments despite increasing digital adoption and supportive regulatory initiatives. Rising product complexity and growing awareness in Tier-2 and smaller markets are also strengthening the relevance of broker-led distribution models.
While near-term profitability is expected to remain muted due to the incubation phase of several businesses, the foundation built across technology, partnerships, and distribution provides a strong platform for scalable growth over the medium to long term, Motilal Oswal said. The domestic brokerage estimates a consolidated PAT CAGR of 48% over FY26–28E.
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