Tata Group Jewellery Stock Dips As Q1 Net Profit Slips; Brokerages Recommend Buy Call

Tata Group Stock Titan Company Limited shares witnessed 1.11% in last 1-week as the company on August 2 declared a decline of 1% in its standalone net profit to Rs 770 crore for June 2024 quarter as against Rs 777 crore in the corresponding quarter of last year as increased gold prices deterred demand. Current market price of Titan Company Limited shares on BSE is Rs 3374.20 per share with decline of 2.57% in trade today. Titan Company shares slipped over 8% year-to-date and soared 225% in last 5-years.

The company's market capitalisation stood at Rs 2,99,556.81 crore. Life insurance corporation of india (LIC) has 2.17% stake in Titan with 19,276,861 shares of the company. Check details below:

Titan Company Limited Q1 Results: The company's standalone revenue from operations surged 10% to Rs 11,105 crore in Q1 FY2025 as against Rs 10,103 crore in Q1 FY2024. At the operating level, standalone EBITDA of Titan surged 9.8% to Rs 1,211 crore for Q1 FY2025 as against Rs 1,103 crore in the Q1 FY2024. Standalone EBITDA margin stood at 10.1% for the quarter under review as compared to 9.9% in the Q1FY24.

Total income for the quarter under review soared 9% as against Rs 9,879 crore reported in the year ago period.

Titan Company Limited Share Performance: The 52-week high price of Titan Company share on BSE is Rs 3885.00 per share (as on 30/01/2024) and 52-week low price is Rs 2882.60 per share (as on 07/08/2023), respectively. Titan Company shares slipped 5% in last 6-months, gained over 16% in last 1-year, rose 38% in last 2-years, and offered return of 88% in last 3-years.

Titan Company Stock Split History: Titan Company undertook stock split once since June 23, 2011. Titan Company split the face value of its shares from Rs 10 to Re 1 in 2011. Titan share traded ex-split on June 23, 2011.

Titan Company Bonus Share History: Titan offered 1 bonus issue since June 23, 2011. The last bonus issue that leading gems & jewellery company declared was in the ratio 1:1 with ex-bonus date fixed as June 23, 2011.

Titan Dividend History: Titan Company announced 24 dividends since July 30, 2001. In last 1-year, Titan Company declared an equity dividend amounting to Rs 21.00 per share. At the current share price of Rs 3374.20 per share, Titan's dividend yield is 0.33%.

Should You Buy Titan Shares: Leading brokerages are upbeat on Titan despite marginal decline in Q1 net profit. Nuvama Institutional Equities sought to upgrade Titan with buy call and assigned a target price of Rs 3,955 per share. According to the analyst, "however, our revenue CAGR of 16.6 percent implies a store-level revenue CAGR of 7 percent that is below the long-term average of 9 percent CAGR that Titan has seen historically."

Global brokerage firm Macquarie recommended outperform call on Titan with a target price of Rs 4,100 per share. Emkay Global assigned buy call with target price of Rs 4000. Emkay said, "Titan has underperformed Nifty 50 in the last three months/12 months and an improved growth/commentary bodes well for a re-rating."

About: Titan Company Limited ("Titan"), a joint venture between the Tata Group and the Tamilnadu Industrial Development Corporation (TIDCO), commenced its operations in 1987 under the name Titan Watches Limited. In 1994, Titan diversified into jewellery (Tanishq) and subsequently into EyeCare.

Disclaimer: The stock has been picked from the brokerage report of Emkay Global, Nuvama Institutional Equities, and Macquarie. 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.