For seven of the 10 years to Dec. 31, the retail-to-refining giant trailed the Sensex, partly due to doubts about Reliance’s $35 billion bet on telecom.

“Reliance is coming out of a long period of consolidation,” said Nikhil Bhatnagar, head of global capital markets at Auerbach Grayson & Co., a brokerage firm based in New York. “The market was quite pensive on their abilities to build a sustainable telecom business.”

The company’s investment in retail was also “a balance sheet drag,” he said.

Some of those concerns have been put to bed after Reliance Jio Infocomm Ltd. amassed 215 million users and started posting profits. Jio’s success has also given investors confidence that Reliance can disrupt other sectors. Chairman Mukesh Ambani’s July 5 announcement on expanding Reliance’s e-commerce presence — challenging global leaders such as Amazon.com Inc. and Walmart Inc. — triggered a surge in its shares.

With plans to leverage its telecom subscriber base to bolster the online retail business, Ambani would be a formidable rival, according to Bhatnagar. “If done right, it could help Reliance dwarf Walmart, Amazon in India over the next decade,” he said.