Shares of Kalyan Jewellers were sharply higher by nearly 12% on February 4, clocking its best trading day in more than 1-1/2 years, underscoring intensely volatile moves that the stock has seen in last few days.
Kalyan's stock price is now higher by 29% in the last five days, and down 26% in the past one month. In the recent fall, the stock had slid below the Rs 450 per share level last week, from where it has swiftly rebounded. In the last one year, the shares of Kalyan have seen a 62% rise.
The rise in Kalyan Jewellers' shares coincided with a strong uptrend in the benchmark indices as well as the broader markets. Sensex and Nifty surged in the second half of February 4, and closed nearly 2 percent higher after the U.S. hit pause on planned tariffs for Canada and Mexico, offering a temporary relief from escalating trade tensions.
The trading volume in the scrip was of 4.7 crore shares, which is 59% higher than the 20-day average volume of 62 lakh shares. The company has a market capitalization of over Rs 58,000 crore. Despite the sharp rise, the shares of the company are not near its all-time high of Rs 795 per share, seen last year.
The stock is priced at 14.1x the book value, and the dividend yield is 0.2% on a trailing 12-month basis. Kalyan Jewellers' shares trades at 83x the estimated EPS for FY26.
On January 31, shares of Kalyan Jewellers had hit an upper circuit after the December quarter results. Kalyan Jewellers reported a strong performance for Q3FY25, with consolidated net profit rising 21 percent year-on-year to Rs 218.82 crore, up from Rs 180.61 crore in the same quarter last year. Revenue surged 39.5 percent to Rs 7,286.88 crore, compared to Rs 5,223.08 crore in Q3FY24.
Ramesh Kalyanaraman, executive director, Kalyan Jewellers India, said about the earnings for Q3FY25, “We are extremely excited with the way the current year has progressed. The current quarter has started off well despite the volatility in gold prices. We are upbeat about the ongoing wedding season and expect to end the financial year on a strong note. We are on track for the launch of 30 Kalyan showrooms and 15 Candere showrooms in India during the current quarter."
Along with the Q3 results, the company also announced that Anish Kumar Saraf's appointment as an Additional Non-Executive Director for a term of three years has been approved by its board. It has also approved the reappointment of Vinod Rai as Chairman & Non-Executive Independent Director, along with few other reappointments.
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