Morgan Stanley: RIL Poised for Earnings Upgrades, Re-rating in 2026

• Morgan Stanley raised Reliance Industries' price target to ₹1,847, reiterating 'Overweight' with a potential 20% upside.
• Brokerage expects RIL's "fourth monetisation cycle" to drive all business verticals to free cash flow positive.
• $80 billion invested since Covid to yield returns from 2026, with quarterly catalysts expected.
• Earnings upgrades and re-rating anticipated throughout 2026, driven by refining, retail, new energy, and chemicals.
• RIL is redeploying free cash flows into AI infrastructure, energy storage, and polysilicon, with a deleveraging balance sheet.

Why It Matters: Morgan Stanley sees significant upside for RIL, predicting earnings upgrades and re-rating from 2026.