Moneycontrol PRO
Upcoming Webinar:Innovate Your Future at India Inc. on the Move on August 26 and 27, 2021 at 10am, with Rockwell Automation

Buy Titan Company; target of Rs 1215: Emkay Global Financial

Emkay Global Financial is bullish on Titan Company has recommended buy rating on the stock with a target price of Rs 1215 in its research report dated October 07, 2020.

October 08, 2020 / 01:34 PM IST
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

Emkay Global Financial's report on Titan Company


Titan's quarterly update indicated a strong revival in the Jewellery business, with a recovery rate of ~98% (excluding the sales of raw gold) in Q2FY21. Sep'20 jewellery sales remained decent despite the inauspicious period and a 15-day delay for the commencement of the festive season (mid-Oct in FY21 vs. late-Sep in FY20). The division added 8 net-new Tanishq stores in Q2FY21 (14 in H1). Studded Jewellery is yet to recover to last year levels, whereas gold coin sales remained high in Q2FY21 as well. Wedding jewellery segment performed well during the quarter. The company continued to sell excess gold in its inventory and the quarter had sales of Rs3.9bn (after Rs6.1bn in sales in Q1FY21) of raw gold. This is likely to generate liquidity.



Outlook


TTAN remains our top pick among discretionary names as we believe that the pace of recovery will improve significantly with the unlocking and the onset of the festive season which can drive more upsides. Maintain Buy.


For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Broker Research
first published: Oct 8, 2020 01:34 pm

stay updated

Get Daily News on your Browser
Sections
ISO 27001 - BSI Assurance Mark