Despite the falls on Thursday, Reliance shares are still up 6.8 per cent for the month, nearly double the 3.5 per cent gain in the broader NSE index.
Domestic brokerage Prabhudas Lilladher downgraded Reliance Industries to "reduce" from "accumulate" on concerns over sustainability of refining margins.
"As we believe the current boost in the refining segment is temporary, we would refrain from getting positive on RIL," the Prabhudas note said.
"Post the recent uptick in RIL stock, we believe that limited commodity driven upsides and absence of meaningful E&P news flow in the near term make the risk reward unfavourable," it added, referring to exploration and production.
Reliance shares have gained 9.9 per cent since posting a lower-than-expected quarterly profit drop on July 20 after refining margins fell less than expected.
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