Titan Company shares climbed as much as 2.5% on Monday, August 10, making the stock the top gainer on the Nifty 50 after the jewellery and watches major posted a strong June-quarter performance. Positive brokerage views, robust jewellery growth and a healthy earnings outlook supported the rally.
Stock Performance
Titan shares were trading around ₹5,065 at 10:15 am, up 2.5%. The stock had fallen 1.14% on Friday ahead of its Q1 results. Titan has gained around 22% so far in 2026, significantly outperforming the Nifty 50, which has declined about 6% during the same period. The company’s market capitalisation stands at roughly ₹4.39 lakh crore.
Strong Q1 Results
Titan reported a 65% year-on-year jump in consolidated net profit to ₹1,699 crore for the June quarter, beating the CNBC-TV18 estimate of ₹1,267 crore. Revenue from operations rose 24.3% year-on-year to ₹18,101 crore, although it was below the estimated ₹19,700 crore.
Jewellery remained the main growth engine. The jewellery business grew 43% year-on-year, excluding bullion and Digi-Gold sales, supported by strong festival and Akshaya Tritiya demand.
The watches segment grew 21%, helped by premiumisation and continued demand for analogue watches, while the smartwatches business recorded a single-digit decline.
Citi Raises Target Price
Citi retained its Buy rating on Titan and increased its target price to ₹5,700 from its earlier target. The brokerage said jewellery revenue and EBIT grew 38% and 33% year-on-year, respectively, excluding bullion sales and one-off factors.
Citi noted that reported profit growth was also supported by a ₹386 crore customs-duty benefit and mark-to-market gains. While plain gold jewellery saw some weakness towards the end of July, the brokerage said recent trends had improved.
Citi expects Titan’s growth and profitability to remain strong and sees potential for a better sales mix as studded jewellery grows faster than gold coins. It raised its FY27-FY29 earnings estimates by 5-10%.
HSBC Maintains Buy
HSBC also retained its Buy rating with a target price of ₹5,550. The brokerage highlighted Titan’s healthy underlying jewellery margins despite several moving parts during the quarter.
Jewellery EBIT margin stood at 10.9%, compared with 11.3% a year earlier. HSBC expects jewellery growth of around 30% year-on-year in Q2 FY27 and 19% for the full financial year.
JPMorgan Sees Further Upside
JPMorgan maintained its Overweight rating and ₹5,465 target price, saying Titan’s Q1 revenue and adjusted EBITDA exceeded Street expectations.
Domestic jewellery revenue grew 38%, supported by a 31% increase in transaction values and demand-focused initiatives. JPMorgan identified Titan’s gold exchange programme, lighter and lower-carat jewellery and diamond activation as key growth drivers.
The brokerage raised its FY27-FY28 earnings estimates by 1-2%.
Jefferies Takes a Cautious View
Jefferies retained its Hold rating with a target price of ₹5,000. While it acknowledged strong jewellery revenue growth and a record reported EBIT margin, it said underlying margins, after adjusting for mark-to-market gains and customs-duty benefits, were broadly in line with guidance.
The brokerage expects Titan to continue focusing on customer acquisition and market-share gains, with a jewellery margin target of around 11%. It also expects international profitability to improve as Damas operations normalise.
Motilal Oswal Retains Buy
Motilal Oswal retained its Buy rating on Titan with a target price of ₹6,000, valuing the company at 60 times September 2028 estimated EPS.
The brokerage said consolidated revenue grew 29% year-on-year, while standalone revenue increased 24%. Standalone jewellery sales excluding bullion rose 38%.
Jewellery demand was temporarily affected in May due to the customs-duty hike, wedding postponements and the announcement to defer purchases, but recovered strongly in June and remained healthy in July.
Domestic jewellery recorded 33% like-for-like growth, while studded jewellery revenue increased 34%. Studded jewellery accounted for 27% of sales in the first quarter, with buyer growth at 5% and average ticket size rising 31%.
Jewellery Margins Improve
After adjusting for the inventory gain related to the customs-duty increase, standalone jewellery EBIT rose 41% year-on-year to ₹1,860 crore. The EBIT margin expanded 20 basis points to 11.7%.
CaratLane also recorded a significant improvement in profitability, with adjusted EBIT margin expanding 340 basis points year-on-year to 10.1%.
Titan’s watches and eye-care businesses also delivered double-digit growth. Watch division revenue increased 21%, while eye-care revenue rose 21% and EBIT grew 20%.
Growth Outlook Remains Positive
Motilal Oswal expects Titan to deliver a sales CAGR of 18%, EBITDA CAGR of 22% and adjusted profit CAGR of 25% over FY26-FY28.
The brokerage highlighted Titan’s competitive advantages in sourcing, studded jewellery, youth-focused offerings and reinvestment, along with the strong brand equity of Tanishq.
Titan had 3,551 stores as of June 2026, with further expansion expected to support medium-term growth. The company’s non-jewellery businesses are also scaling up and are expected to contribute increasingly to future growth.
