Titan’s stock has made a notable leap, climbing nearly 5% to reach an impressive intra-day high of Rs 3,525 on the National Stock Exchange, even in a sluggish market. This surge positions Titan as the leading gainer within the Nifty 50 index. The boost in share price follows the company’s announcement of an 11% year-on-year increase in its quarterly net profit for Q4 FY25, reporting a figure of Rs 870 crore, up from Rs 786 crore during the same quarter last year.

Strong Earnings Propel Titan

The positive momentum in Titan’s share price can be attributed to its latest financial results. The company’s jewellery segment showcased a remarkable performance, with EBIT margins soaring to 11.9% in Q4 FY25. This achievement was driven by operational efficiencies, a revived solitaire segment, and minor hedging gains, despite facing gross margin pressures and a 3 percentage point contraction in the studded ratio. High demand due to weddings and festivals fueled a 25% year-on-year growth, even amid soaring gold prices.

Nuvama’s Optimistic Outlook

Brokerage firm Nuvama has responded to Titan’s robust earnings by raising its target price from Rs 4,115 to Rs 4,541, while maintaining a ‘Buy’ recommendation. Analysts at Nuvama have adjusted their revenue estimates upward by 4% for FY26 and 5% for FY27, alongside a 2%-5% increase in PAT estimates. They anticipate a strong performance in Q1 FY26, driven by heightened wedding season demand.

Motilal Oswal’s Perspective on Titan

In a similar vein, Motilal Oswal highlighted Titan’s competitive advantages, which include superior sourcing and a focus on youth-centric strategies. The brokerage emphasized that the brand’s strong recognition and business model create a solid barrier against competition, ensuring Tanishq’s continued dominance in the market. As of March 2025, Titan expanded its footprint with 3,312 stores, and the growth trajectory for its non-jewelry segment looks promising.

Motilal Oswal forecasts a 16% compounded growth in revenues from FY25 to FY27, with EBITDA expected to rise by 18% and net profit by 22%. While they note that Titan’s valuation is relatively high, they believe the company possesses a significant growth potential backed by a proven execution track record, thus maintaining a ‘Buy’ rating with a target price of Rs 4,000.

Titan’s Stock Performance Highlights

In the past five trading sessions, Titan’s share price has appreciated by 3.6%. Over the last month, it has delivered a 10.4% return, and in the six months leading up to now, the stock has risen by 9.3%. The renowned investor Rakesh Jhunjhunwala has contributed to the stock’s appeal, as Titan has increased investors’ wealth by 8% over the past year.

With a bright outlook and strong market performance, Titan continues to captivate investors, underlining its position as a leading player in the jewellery sector.