Rakesh Jhunjhunwala Stock To Likely Surge To Rs 2480 After Giving 23% Return In 1 Month

Leading brokerage ICICI Direct has given buy rating to Rakesh Jhunjhunwala favourite stock Titan Company Limited for a target price of Rs 2480 apiece in 3 months. The brokerage has suggested investors to buy the stock at current market price of Rs 2407 apiece in its latest report dated August 4, 2022. The 52-week high of Titan is Rs 2767 apiece and 52-week low is Rs 1764 apiece.

Multibagger Returns: The stock has given multibagger returns with 23% return in just one-month period only. The stock has given a return of 5% in 3 months, 34% in 1 year, 126% in 3 years, and 294% in 5 years.

1. Titan Company Limited Key Strengths And Weaknesses

It is a company with low debt and has registered strong annual EPS growth. The book value per share is improving for the last 2 years. When it comes to weakness, it finds itself in companies with growing costs YoY for long term projects. It has registered dip in net profit with falling profit margin (QoQ). It has recorded decline in quarterly net profit with falling profit margin (YoY). It is a stock with high PE. There is an increasing trend in non-core income.

2. Titan Company Q4FY22 Results

Total income for FY22 was Rs 26,411 crore, registering a growth of 36% compared to Rs 19,426 crore in the FY21. The Company recorded a profit of Rs 2,983 crore (before taxes and exceptional items) for FY22 in comparison to Rs 1,370 crore in FY21, a growth of 118%. Total income for the Q4FY22 was Rs 7,352 crore, a growth of 3% compared to Rs 7,169 crore in Q4 FY21. The company reported a profit of Rs 716 crore (before taxes and exceptional items) as compared to Rs 702 crore in the same quarter of the previous year.

Mr.CK Venkataraman, Managing Director of the Company stated, "Despite frequent disruptions in the quarter owing to Covid wave 3 and other geo-political factors, the quarter has been satisfactory in terms of growth and profitability. The Company is well prepared and looking forward to an exciting Ql with all its stores ramped up for a much-awaited Akshaya Tritiya festival this year. With international expansion in GCC markets and the first Tanishq store coming up in the US, we are gearing up to touch new horizons in FY23."

About Titan Company Limited

Titan Company Limited (Titan), a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation (TIDCO), commenced its operations in 1984 under the name Titan Watches Limited. Titan is the fifth largest integrated own brand watch manufacturer in the world. Over the last three decades, Titan has expanded into underpenetrated markets and created lifestyle brands across different product categories. Titan is widely known for transforming the watch and jewellery industry in India and for shaping India's retail market by pioneering experiential retail, according to its official website. The market capitalization is Rs 2,13,872.12 crore.

Disclaimer

The stock has been picked from the brokerage report of ICICI Direct. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.