Morgan Stanley believes Reliance Industries is on the verge of a significant value unlock, estimated at $50 billion, through its aggressive expansion into New Energy and Artificial Intelligence (AI).

The company plans to develop a multi-gigawatt GenAI data centre using NVIDIA’s Blackwell chips in collaboration with Google and Meta, representing a $15 billion investment by financial year 2027.

Despite the scale of its technology ambitions, the report argues that Reliance’s AI potential remains undervalued by the market. With China exiting nearly one-third of global polysilicon capacity, Reliance Industries is expected to become South Asia’s only fully integrated 20GW solar chain by 2027, positioning it as a leading non-China player in the global clean-tech reset.

In its traditional businesses, Reliance continues to benefit from tight refining margins in oil-to-chemicals, while retail and telecom operations are delivering robust growth, supported by FMCG traction and improving fixed wireless performance. Morgan Stanley’s energy analyst Mayank Maheshwari has raised the valuation of Reliance’s New Energy and AI ventures to $25 billion (from $19 billion earlier), projecting 11% EPS CAGR through FY28, with room for multiple expansion across verticals.