New Delhi: Propelled by popularity of Jio, Petrochemicals and telecom major Reliance Industries (RIL) on Monday got better of software services leader Tata Consultancy Services (TCS) to become the most valuable company in India with a market value of Rs 4.60 lakh crore, compared to Rs 4.59 lakh crore for the Tata Group flagship. For about four years RIL had lagged behind TCS in terms of market value.
According to media reports, gradual rise in margins in the refining business, RIL's mainstay, along with good growth in its petrochemicals business and strong customer response to its recently-launched telecom business, have been helping the rally in RIL's stock price, market players said. On the other hand, changing business landscape in the software services sector and US government-led hurdles for outsourcing by its companies and expatriate employees in those entities are also proving to be touch challenges for the Indian software industry as a whole. As a result, so far in the year, RIL stock price has gained 31% compared to 11% for the sensex and 1.4% slide in TCS, BSE data showed.
One of the main drivers for RIL in recent times was the strong customer response to Jio's services which came on the back of attractively priced tariffs and high data speed.