Investing or trading in the stock market has never been easy for anyone. Sometimes, worrying about what will happen the next day keeps you awake at night. However, you can alleviate these concerns by properly analyzing your investments and knowing what to look for when investing your hard-earned money in a stock.
On this page, we will help you analyze the RCOM share and provide a target price for the years 2023 to 2050. Initially, we did not plan to cover this stock on our website, but due to high demand from our readers, we decided to provide this analysis. So, here we will discuss the target price for Reliance Communications stock and other important details. Let’s start with the first point, which is the price forecast for the upcoming years.
Reliance Communications Share Price Target 2023 to 2050
Let’s disregard the target price for 2050 because we strongly believe that RCOM will soon shut down. There is nothing left for the company, as it is burdened with high debt, depleted reserves, and almost all assets have been sold. It seems highly unlikely for Reliance Communications to turn around from this situation.
From Rs. 792 in 2008 to Rs. 1.35 today, RCOM has been a wealth destroyer for investors. Once a prestigious global company, it is now a small-cap company nearing the end of its lifespan. The issue is that retail investors still seek to invest their money in this stock with hopes of making significant profits. However, chasing penny stocks for large gains is the main reason why retailers suffer significant losses in the stock market, and then they blame the stock market for being a form of gambling.
Investing based solely on assumptions is nothing more than gambling; it lacks the foundation of true investment. Investing is an art that relies on various factors. To learn the art of investing, one should study legendary investors like Warren Buffett and Rakesh Jhunjhunwala.
To provide you with an idea of the target price, we have made predictions based on the theory that RCOM will continue operating and aim for moderate growth. However, it is highly likely that this target price will not be achieved, and you should not rely solely on it.
Also Check: Reliance Share Target Price
About Reliance Communications
Firstly, it’s important to clarify that Reliance Communications (RCOM) is associated with Anil Ambani, not Mukesh Ambani. RCOM used to be an Indian Telecom Company, but in 2019, it filed for bankruptcy due to its substantial debt, and its assets were insufficient to repay those debts. Initially founded in 2004 by Anil Ambani as Reliance Infocomm Ltd, the company changed its name in 2006. Unfortunately, there is currently no optimism for the company, and its closure is anticipated in the near future.
RCOM Share Fundamental Analysis
Data As of 7th July 2023
RCOM has experienced a significant decline in sales growth over the past few years. In March, sales were recorded at Rs. 25,594 Crores, but they have steadily decreased, reaching Rs. 479 Crores in 2023. The company is facing a lack of profitability, and its reserves are in a negative state. As of now, RCOM has borrowings amounting to Rs. 47,261 as stated on its balance sheet. In 2020, a consortium of companies expressed interest in purchasing Reliance Communications’ assets, with bids starting at $200 million USD or more.
Consider Reading: Shalimar Production Share Price Target
Conclusion:
In conclusion, RCOM is currently in the final stage of its business cycle, and there is an expectation of its closure and potential delisting of the company’s shares from exchanges. Therefore, investors are advised to avoid investing in this stock. However, it is important to note that our opinion may be fallible, but the current situation supports this viewpoint. The decision ultimately rests with you. Keep following our blog for more information on the share market.
Disclaimer: The content provided on this website serves an educational purpose only and should not be regarded as investment advice.
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