Ace investor Rakesh Jhunjhunwala is known for his ability to pick the right shares, which has even led to investors referring to him as India’s Warren Buffett. Rakesh Jhunjhunwala has more than 8.3% stake in Titan Ltd, as at the end of June 2017. Titan is one of the most prominent stocks in the Rs 10,000 crore portfolio of the investing icon as at March 31st 2017, with accounted for Rs 3,644 crore then.
Deutsche Bank has maintained a buy call on the stock with a target price of Rs 625. Titan shares were trading at Rs 598.4, down by more than 0.6% on Tuesday morning. Deutsche Bank expects the demand to be a bit lesser in the July-September period, as customers had made advance purchases during pre-GST sale.
Titan shares have had a stellar run at the bourses so far with returns of more than 84% in the year, as compared to BSE Sensex returns of 18.7%, implying an outperformance of more than 65%. Titan has been a long-time favourite of Rakesh Jhunjhunwala, one of the few stock which he has held for more than 12 years. However, as per the latest data filed by Titan in the exchanges, he had reduced his stake by 0.3% in the Apr-June quarter. As art March end, he held 8.57% stake, as compared to 8.37% as at June end.
Titan’s June quarter net profit almost doubled, helped by a significant jump in jewellery demand that more than offset subdued sales of the company’s watches and eyewear segments. Net profit increased to Rs 237.97 crore in the three months ending 30 June, 2017, as compared to Rs 120.89 crore in the same period a year ago.