Titan Company Ltd. share price target

Titan was incorporated in 1984 as a JV between the TATA Group and TIDCO.

Company had a strong quarter with demand recovery across all segments. Most stores are fully operational with business returning to pre-pandemic levels. Demand is expected to improve further with upcoming festive season. However, post-recent price rally, we see limited upside and therefore maintain our HOLD rating on the stock with a revised price target of Rs. 2,570 based on 85x FY23E EPS. Demand recovery across the segments aids topline...

The company's flagship Jewellery division witnessed a demand resurgence and made a strong recovery registering an income of Rs 6,106 crore with 77% growth in Q2 FY22 compared to Rs 3,446 crore reported in Q2 FY21 (excluding bullion sale in both the periods). The division achieved Earnings Before Interest and Tax (EBIT) of Rs 793 crore for Q2 FY22 compared to Rs 285 crore in the same quarter of previous year. Titan said the gross margins in Jewellery...

We are increasing FY22/23/24 EPS by 7.3%/0.1%/1.1% given 1) strong demand recovery across verticals 2) operating leverage led margin expansion in Jewellery 3) All time high margins in Eyewear led by business model restructuring and benefits of backward integration of past few years. We...

Jewellery glitters with strong consensus beat in Q2 lifestyle company, with jewellery being the leading vertical (82% of revenues). Robust distribution network comprises 1900+ stores spread across 2.5 mn sq ft. Titan has consistently displayed its ability to gain market share amid a tough industry scenario owing to its robust balance sheet (30%+ RoCE and cash & investments worth | 2000+ crore) and strong brand patronage Key highlights of Q2FY22 update: Titan witnessed a strong recovery in demand...

With partial re-opening of stores, increasing wedding sentiments and rising vaccination pace, Jewellery demand is expected to improve further. On the contrary, Non-Jewellery segment to remain impacted with mild recovery in the near-term. Due to limited upside, we downgrade our rating on the stock to HOLD with a revised target price...

Provision for interest fell 5.77% to Rs 49 crore. Provision for depreciation rose 2.15% to Rs 95 crore. Share of profit/loss were nil in both the periods. Provision for tax was debit of Rs 21 crore, compared to credit of Rs 64 crore. Effective tax rate was 53.85% compared to 17.73%.Minority interest increased 66.67% to Rs -2.00 crore. Promoters' stake was 52.90% as...

Despite losing out on sales for a large part of May'21 due to the lockdowns across the country, TTAN reported a decline of only ~33% over 1QFY20 (normal) levels. This was to some extent aided by bullion sales of INR4.24b. Margin performance was also better than expected, led by cost savings and better than expected sales. Watches and Eyewear seem to be reporting a much faster recovery v/s that witnessed after the lifting of lockdown restrictions last year. With the recovery in Jun'21 continuing into Jul'21 as well, pent up...

Incorporated TCL North America, to cater the NRI and PIO segment in US We are marginally increasing FY22/23 EPS by 0.64%/1.94% given strong demand recovery in June/July and faster recovery in Eyewear and Watches relative to last year. TTAN remains positive on recovery given rising vaccination, although a couple of large south Indian states remain a drag. We believe that with 1) Rise in wedding jewellery sales and ticket size in 2H22, 2) Improvement in studded ratio, 3) Healthy recovery in watches and Eyewear...

Jewellery segment continues to drive the topline In 4QFY21, the company saw strong growth in the consolidated revenue to Rs. 7,494cr (+59.0% YoY), driven by excellent sales from Jewellery division which grew 71.3% YoY to Rs. 6,678cr. This is also the second consecutive quarter witnessing strong retail growth in the segment which reflects the re-gained market share in this space as the industry witnessed decline in gold prices during the quarter. Revenue from watches segment almost remained flat on YoY basis to Rs. 559cr, as the recovery rate for Jan and Feb months were at ~90% of the comparable months in 2020 and with better...