Citi has maintained a ‘Neutral’ rating on Titan Company Limited with a target price of ₹3,600/share, indicating a potential upside of 3.6% from the current market price (CMP) of ₹3,476.50.
Key Highlights:
- Jewellery Segment: Jewellery (excluding bullion) posted a robust 26% year-on-year (YoY) growth in Q3FY25, driven by strong festive demand. The management highlighted:
- High single-digit buyer growth with double-digit ticket size growth, supported by a 26% YoY increase in gold prices.
- Gold coin sales surged ~48% YoY, plain gold grew ~24% YoY, and studded jewellery recorded ~21% YoY growth—the highest quarterly growth in FY25.
- Store expansion for Tanishq was strong, with 11 new stores added in India.
- CaratLane Performance: The brand reported a 25% YoY growth in Q3FY25.
- Other Segments: Growth was mixed:
- Watches and Wearables grew 15%.
- EyeCare sales increased by 18%.
- Emerging Businesses reported 5% growth.
While Citi acknowledges Titan’s strong festive-driven performance, it maintains a cautious stance due to its high valuation and modest upside potential.
Disclaimer: The above analysis is based on inputs provided and is for informational purposes only. It does not constitute financial advice. Readers are advised to consult their financial advisors before making any investment decisions.
