Titan Company Ltd. share price target

We are cutting FY22/23/24 EPS estimates by 2.1/2.7/6.0% following slower Change in Estimates | Target | Reco than expected demand trends across Jewellery, watches and eyewear. 4Q sales were impacted by 1) 3rd wave impact in January 2) higher gold price...

In Q3FY22, company recorded revenue growth of 31.7% YoY to Rs. 10,037cr (34.0% QoQ) driven by sharp continuous evolution in Jewellery segment (+32.5% YoY to Rs. 9,059cr; 37.86% QoQ), due to buoyant festive season demand in Oct & Nov 2021 and net increase in both walk-ins and buyers exhibited +30% growth over Q3FY21. Watches and eyewear segment further aided revenue 28.9% YoY to Rs. 710cr (+3.0% QoQ), and 25.8% YoY to Rs. 156cr (-2.5% QoQ) respectively. Resultantly, EBITDA rose to 68.8% YoY to Rs. 1,499cr (+46.5% QoQ) despite a significant increase in selling and...

lifestyle company, with jewellery being the leading vertical (82% of revenues). Robust distribution network comprises 1900+ stores spread across 2.5 mn sq ft. Q3FY22 results: Titan's Q3FY22 result was better than our estimates owing to alltime high EBITDA margins, aided by a strong gross margin performance. Robust operational performance resulted in the company reporting its highest ever quarterly PAT of | 1012 crore What should investors do? Titan has been an exceptional performer in the discretionary space with stock price appreciating at ~46% CAGR in last five years. We continue to remain structurally positive on the stock as high growth...

Q3 Net Profit up 91.24% . beats estimates Sales of Watches and Wearables segment has gone up 28.86% to Rs 710.00 crore (accounting for 7.06% of total sales). Sales of Jewellery segment rose 32.52% to Rs 9,059.00 crore to Rs 134.00 crore (accounting for 1.33% of total sales). Profit before interest, tax and other unallocable items (PBIT) has jumped 75.09% to Rs 1,406.00 crore. PBIT of Watches and Wearables segment rose 433.33% to Rs 80.00 crore (accounting for 5.69% of total PBIT). PBIT of Jewellery segment rose 68.15% to Rs 1,288.00 crore (accounting for 91.61% of total PBIT). PBIT of eyewear segment rose 54.55% to Rs...

DCF based target price of Rs2,832 (earlier Rs2,907). TTAN reported one of the best quarters on the back of 1) strong jewellery demand driven by festive purchases (buyer/ volume growth of 32%/ 47%) 2) Margin expansion in jewellery led by 100bps gains in jewellery margins due to higher diamond prices and lower GHS sales and operating leverage 3) Accelerated store openings in Eyewear (net 53 added) 4) sustained momentum in watches and other categories. Although TTAN reported 14.6% Jewellery margins and despite a strong demand environment at least till April, we believe...

We are increasing FY22/23/24 EPS estimates by 10%, 5.8% and 6.5% to Change in Estimates | Target | Reco Rs25.6/33.4/42.2 and increase DCF based target price to Rs2915 (Rs2651 earlier). This follows stronger than expected 3Q jewellery sales growth even...