Fundamentally strong TATA group stock which has established leading positions in watches, wearables and eye care gives strong Q2 Business update.
At 3:10 p.m the shares of Titan Company were trading at Rs. 3,274 up by 0.20 percent from its previous day close price and the market capitalization of the company is 2,90,652 Cr.
As per the company’s filing, Titan Company registered a Revenue growth of 20% YoY in Q2FY24. A total of 81 stores were added in this period, taking the group’s retail presence to 2,859 stores.
Titan’s jewellery business registered a YoY growth of 19 percent in Q2FY24 over Q2FY23, with 39 new store additions taking the total store count to 598 stores. It sells its jewellery under the brand name Tanishq.
Titan’s watches and wearables business registered a YoY growth of 32 percent in Q2FY24 over Q2FY23, with 20 new store additions taking the total count to 1,051 stores. It sells watches and wearables under Titan, Fastrack and Helios.
Titan’s eye care business registered a YoY growth of 12 percent in Q2FY24 over Q2FY23, with 5 new store additions taking the total count to 913 stores. Its eye care business is operated under brands like Titan Eye+ and Fastrack.
Titan’s emerging businesses i.e. Fragrances and Fashion Accessories registered a YoY growth of 29 percent in Q2FY24 over Q2 FY23, with 4 new store additions taking the total count to 51 stores.
Titan’s Caratlane business segment registered a 45 percent YoY growth in Q2FY24 over Q2FY23, with 13 new store additions taking the total count to 246 stores.
Motilal Oswal has given a ‘BUY’ tag for Titan with a target price of Rs. 3,795, for anupside potential of 15 percent from its current market price of Rs. 3,274.
The company’s revenue increased by 40.89 percent from 28,799 Cr in FY22 to 40,575 Cr in FY23, accompanied by increasing profits of 2,198 Cr to 3,274 Cr.
The company has reported a return on equity (ROE) of 30.97 percent and return on capital employed (ROCE) of 27.47 percent, this indicates that the company is making good returns on its equity and is making efficient utilisation of the company’s resources.
According to the latest shareholding data available for the June 2023 quarter, the company’s Promoters hold 52.90 percent stake, the Domestic Institutional Investors hold 10.63 percent and the Foreign Institutional Investors (FII) hold 18.53 percent.
Titan is India’s leading lifestyle company and is a part of the famous indian Conglomerate the TATA Group, it has established leading positions in the jewellery, watches and eye care categories led by trusted and well known brands like Titan, Fastrack, Titan eye+, Helios, Caratlane.
Written by: Bharath K.S
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
