Titan’s December quarter performance has strengthened positive views across brokerages. Recent brokerage reports indicate that jewellery demand remained strong despite high gold prices. The growth was driven by weddings, festive buying and exchange programmes.
While higher gold coin sales slightly affected margins, overall operating profit improved meaningfully. Brokerages believe Titan continues to gain from brand strength, execution and expansion across formats.
Here is what each brokerage said, explained in simple language.
Motilal Oswal on Titan Company: ‘Buy’
Motilal Oswal Financial Services has reiterated a ‘Buy’ rating on Titan Company with a target price of Rs 5,000, which implies an upside of about 18%. The brokerage described the quarter as exceptionally strong.
It noted that jewellery growth remained healthy across formats, including Tanishq, Mia and Zoya. Festive collections and exchange schemes helped drive store traffic. Even though gold prices were volatile, demand did not weaken materially.
Margins were impacted by higher gold coin sales and mix changes, but absolute profits increased. Watches and eyewear also contributed positively to overall performance, adding to business momentum, the report noted.
Motilal Oswal described the quarter as a “Blockbuster quarter; momentum sustaining”, indicating confidence that growth is not a one-off event.
JM Financial on Titan Company: ‘Buy’
JM Financial has maintained a ‘Buy’ rating while increasing the target price to Rs 5,000, implying an upside of about 18.06%. The brokerage believes Titan remains well placed within the jewellery segment.
The report highlights that festive demand and the wedding calendar played a key role in supporting sales. Even with high gold prices, customer interest stayed intact. Exchange programmes and product launches helped attract ‘Buy’ers.
The brokerage also pointed out that operating profit rose faster than revenue. This means Titan improved efficiency and earned more per rupee of sales compared to last year. That supported strong earnings growth during the quarter.
JM Financial said, “Despite the surge in gold price, growth momentum sustained on the back of festive and a strong wedding calendar” , underlining resilience in demand.
Nuvama on Titan Company: ‘Buy’
Nuvama has maintained a ‘Buy’ rating with a revised target price of Rs 4,926, implying an upside of about 16.32%. The brokerage continues to see strong underlying demand.
The report notes that jewellery growth was driven by domestic demand and gold coin purchases. Wedding ‘Buy’ing was a key factor during the quarter. Store expansion across formats also supported growth.
Margins in jewellery were slightly lower compared to last year due to a higher mix of coins. Since gold coins typically carry lower margins than studded jewellery, the overall profitability percentage moderated slightly. However, earnings still rose strongly year-on-year, as per report.
Nuvama called it an “Outstanding performance”, signalling confidence in the company’s execution and business strength.
Nomura on Titan Company: ‘Buy’
Nomura has retained its ‘Buy’ rating on Titan Company Ltd. with a target price of Rs 4,500, which suggests an upside of about 6.25% based on its valuation. The brokerage continues to rank Titan among its preferred picks.
According to the report, growth was broad-based, with jewellery leading the performance. Wedding demand, festive collections and exchange schemes helped sustain ‘Buy’ing momentum. Watches also delivered healthy growth, particularly in analog models.
Nomura did mention some margin pressure due to product mix and higher coin sales. Even so, overall operating profit rose strongly during the quarter. The brokerage believes earnings growth remains on track.
Nomura described the results as “Robust broad-based growth with strong margin performance”, capturing the overall tone of the quarter.
Conclusion
Brokerage reports from Motilal Oswal, JM Financial Institutional Securities, Nuvama Institutional Equities and Nomura suggest Titan Company delivered a strong December quarter, supported by weddings and festive demand.
Disclaimer: This article provides factual analysis only and is not, and should not be construed as, an offer, solicitation, or recommendation to buy or sell securities. Investors must conduct their own independent due diligence and seek advice from a SEBI-registered financial advisor.