Titan Shares Soar Should You Buy, Sell, Hold After Q3 Results?

“Titan Company reported a shortfall in Q3 FY23 performance as expected margin accretion on a higher revenue base did not come through given activism in a volatile demand environment. That said, after a strong festival and November-December, demand is strong again in January (nearly 20% 3Y CAGR growth) and this is attributed to weddings, which saw a significant turnaround in the Q4 quarter,” Edelweiss said. said, which has a Buy rating of Titan Shares with a target value of 3,290.

Thereafter, demand may moderate given consumer sentiment, but we still expect Titan to register the highest growth in the consumer space; Edelweiss said, the stock remains a top pick.

“India jewelry growth at <10% was broadly in-line, secondary was better at 15% – growth was supported by new buyer growth, partly due to higher discounts, with a modest increase in bill value Segmental margins missed slightly. Watches segment grew in double digits but margins remained subdued. Management comment for January remains positive in jewelery after marginal improvement in November/December. We remain on hold (PT of 2,550),” according to Jefferies.

“Given the strong execution, we are confident of a continuation of the high-teens earnings trajectory for Titan over the medium term. The stock has corrected ~20% in the last 3 months, which is unfair in our view. We maintain Buy on Titan with Mar 24-24 TP Rs2,940 based on FY25 52x EPS. Strong traction in Tanira/Handbags/Intel. There remains a potential upside to business estimates,” said MK at another brokerage.

The views and recommendations given above are those of individual analysts or broking companies and not of Mint.