Archive · 7 Oct 2026
Titan Shares Slide Despite Brokerages’ Buy Ratings After Jewellery Miss
Titan sells jewellery, watches and eyewear.
Its jewellery sales grew, but not as quickly as one analyst expected, and its shares fell 3%.
CaratLane grew faster than Titan’s main jewellery brands.
Watches, eyewear and international sales had a stronger quarter.
Nomura and Motilal Oswal still rate Titan a Buy.
Nomura says the mix of jewellery sold may help margins.
It also expects comparisons to become harder because jewellery sales grew very quickly in the same quarters last year.
So Titan’s reported growth could look slower even if the business continues to expand.
Titan shares fell 3% after domestic jewellery sales grew 21% in Q2FY27, below Nomura’s roughly 25% estimate.
Core Tanishq, Mia and Zoya sales rose 20%, while CaratLane grew 32%; Nomura said stronger studded-jewellery sales improved the product mix.
Other businesses were stronger: watches grew 30%, domestic eyewear 28%, and international sales 97% year on year.
Nomura retained its Buy rating and ₹5,425 target price; Motilal Oswal also kept its Buy rating and assigned Titan a 3% model-portfolio weight.
Nomura warned that high comparison bases and the possible fading revenue benefit from elevated gold prices could moderate reported growth in coming quarters.
- Who
- Titan Company, with assessments from Nomura and Motilal Oswal Financial Services.
- What
- Titan shares fell 3% after Q2FY27 jewellery growth came in below Nomura’s estimate, while both brokerages retained Buy ratings.
- When
- The update concerns the second quarter of FY27; the articles do not specify a calendar date for the share-price move.
- Where
- Titan’s business includes domestic operations and international markets, including North America and the Gulf Cooperation Council region.
- Why
- Jewellery sales growth of 21% was below Nomura’s expectation of about 25%; the articles also cite high gold prices, festive-calendar timing and a high comparison base.
Near-term concerns
Constructive investment case
Jewellery growth and outlook
Near-term concerns
Jewellery growth of 21% missed Nomura’s roughly 25% estimate, and high comparison bases plus elevated gold prices may make reported growth look slower in coming quarters.
Constructive investment case
Both Nomura and Motilal Oswal retained Buy ratings; Nomura cited stronger studded-jewellery mix, while watches, eyewear and international operations delivered stronger growth.
Damas and international operations
Near-term concerns
The core Damas business remains under pressure, and the 97% international growth figure includes Damas, consolidated from Q4FY26.
Constructive investment case
North America recorded double-digit growth, the Gulf region remained resilient, and management indicated early signs of recovery at Damas.
- Share-price move
- Titan shares fell 3%.
- Domestic jewellery growth
- 21% year on year, including CaratLane.
- Nomura jewellery estimate
- About 25% growth.
- Other Q2 growth
- Watches: 30%; domestic eyewear: 28%; international sales: 97% year on year.
- Nomura rating and target
- Buy; ₹5,425 target price.
- Motilal Oswal portfolio weight
- Titan retained as a Buy with a 3% model-portfolio weight, compared with 1.4% in the benchmark portfolio.
- Nomura FY27 forecasts
- 19% consolidated sales growth and 23% earnings before interest and taxes growth.