Jio Financial’s stock price dropped to its lowest ever level today. On the BSE, the shares fell 4.3% during trading hours, going below ₹200 for the first time to reach ₹198.6 per share.
The company, which is part of the Reliance Group, first entered the stock market in August 2023 at ₹265 per share. Since then, its share price has been falling steadily.
Looking at recent performance:
- Down nearly 11% in the last month
- Dropped over 36% in three months
- Fallen almost 33% in one year
Meanwhile, the main BSE Sensex index has actually grown by 1.8% during the same one-year period.
Now Lets explore what is the reason behind the fall of Jio Finance Stock Price, what you can do to stay safe, is it good to hold for long term and more details about Jio Finance Services.
What is Jio Finance Services Limited?
Jio Financial Services Ltd (JFSL) is a public company based in Mumbai. It used to be part of Reliance Industries but later became a separate company. Many people think it’s a private company because of its old name, Reliance Strategic Investments Private Limited, but now it’s fully public after the split in 2023.
Company Structure:
JFSL is the main company and has smaller companies under it like:
- Jio Finance – gives loans (up to ₹1 crore) with 9.99% interest.
- Jio Insurance Broking – deals with insurance services.
- Jio Payments Bank – a digital bank where JFSL owns 77%.
Ownership: The Ambani family owns most of the company, around 47.12%.
What They Do: JFSL offers digital financial services like:
- Loans
- Insurance
- Payments
- Wealth management
All these can be accessed through their app, JioFinance, which started in May 2024.
Other Partnerships: They also work with BlackRock in two areas:
- Asset management (called Jio BlackRock)
- Wealth management
Financial Update: As of March 2025, the company’s market value is around ₹1.57 lakh crore. In the third quarter of the 2025 financial year, it earned a profit of ₹294.78 crore, and its income went up by 5.7% compared to last year.
Why Jio Finance Services is Falling?
Let’s start with why this stock is going down. A 40% drop is a big deal. It’s the kind of fall that makes you look twice at your investments and ask yourself, “Did I miss something?”
1. Earnings Not Looking Great
The latest numbers from Jio Finance (for October to December 2024) didn’t impress anyone. They made a profit of ₹295 crore, which is almost the same as last year’s ₹294 crore. But here’s the problem — in the last quarter, they made ₹689 crore. So that’s a big 57% drop in profit. Revenue also fell by 37%, coming down to ₹438 crore.
I know new companies need time to grow, but when a company is linked to Reliance, people expect better results. So when the numbers don’t improve, many investors lose confidence and start selling their shares. That’s likely why the stock has dropped so much.
2. Market Going Up and Down
It’s not just Jio Finance that’s having a tough time. Many other stocks, especially midcap and smallcap ones, have also been falling. Since the end of 2024, the market has been a bit shaky. Some companies gave mixed results, global news hasn’t been great, and some people are just taking their profits and leaving. All of this is making investors nervous.
Even though Jio Finance is a big company, it still got affected. Experts are saying the stock is now trading below important price levels, and a few technical signs are not looking good either. One of them, called RSI, is showing that the stock is weak right now. In simple words, the stock is losing strength, and traders are putting more pressure by selling.
3. Still Waiting for a Big Moment
Jio Finance is doing some good things. Its app has 7.4 million users every month, it started a new broking business with BlackRock in January 2025, and its managed money (AUM) grew a lot — from ₹1,200 crore to ₹4,200 crore in just one year.
But even with all this, the stock hasn’t gone up much. The company is in a tough market with big players like HDFC and strong startups like Paytm. If Jio Finance wants to stand out, it needs to do something big — something that shows it’s more than just part of Reliance.
4. Big Plans, But Not Going Fast as Expected
When Jio Finance started in 2023, there was a lot of excitement. Many people thought it would change the finance world just like Jio changed the telecom space. Because of this hype, the stock price was high right from the start.
But things are still in the early stage. The company’s P/E ratio is around 85–90, which is very high. For comparison, Bajaj Finance has a P/E of about 32. That means people are paying for future growth that hasn’t really shown up yet.
Jio Finance has big ideas like supply chain financing, working with BlackRock on wealth management, and offering smart digital services through its app. But the profits are not growing much yet, and there are some rules making unsecured loans harder. So, the big future everyone hoped for might take more time to arrive.
Is Jio Financial Services a Good Buy for Long Lerm?
When it comes to Jio Financial, I think it’s a good stock to hold for the long term. The company has a lot of room to grow. India’s financial market is also growing fast, which is a good sign. The people behind Jio are smart and are always trying new ways to grow the business. So in my opinion, this stock could do well in the future if you’re planning to invest for the long run.
Jio Financial Services is a large-cap stock and a strong competitor to Bajaj Finance. Some experts believe that in the coming days, it could give tough competition to Bajaj Finance. If you compare both, Bajaj Finance is like a big elephant, while Jio Financial is like a small horse — it can move fast in any direction, depending on what the promoters plan. That’s why, for the long term, Jio Financial looks like a good stock to hold.
FAQs
Is Jio Financial good stock to buy?
Jio Financial has long-term potential because of Reliance’s support and its focus on digital services. But the stock is still priced high, so it’s smart to be careful. In the short term, the company’s profit grew just 1.76% in Q4, and the stock has fallen around 11.66% in the last three months. Before investing, think about your risk level and the current market situation.
What is the future of Jio Financial Services?
The future of Jio Financial Services looks promising due to its strong backing from Reliance and a digital-first approach. However, its growth may take time, and it faces competition in a crowded market. If it can effectively execute its plans, it has good potential for long-term growth.
Who owns Jio Financial Services?
RIIHL stands for Reliance Industrial Investments and Holdings Limited. It’s an investment holding company and a completely owned subsidiary of Jio Financial Services. Recently, Jio Financial Services, led by billionaire Mukesh Ambani, announced its Q4 results for 2025 earlier this week.
Is Jio Finance undervalued or overvalued?
Jio Finance is currently considered overvalued by many analysts due to its high valuation, despite modest short-term growth. While it has strong long-term potential, caution is advised before investing.
What is the scope of Jio Financial Services?
Jio Financial Services mainly focuses on giving loans to customers and small businesses by using its own data and technology. The company also plans to grow into other areas like insurance, digital payments, stock broking, and asset management. Its goal is to have enough money in hand to meet rules for lending and to support future growth in different parts of the financial sector.
Conclusion
Jio Financial Services is still in its early days, but it has big potential for the future. With strong support from Reliance and plans to grow in loans, insurance, and digital finance, it could become a major player in the market. The journey may be slow at first, but for long-term investors, Jio Financial looks like a stock worth watching.
