Moneycontrol PRO
Upcoming Webinar:Watch Kushal Bhagi of Tortuga Wealth Managers decode how you can maximise your MF investments on Sept 21 @11am. Register Now

Buy Titan Company; target of Rs 1450: ICICI Direct

ICICI Direct is bullish on Titan Company recommended buy rating on the stock with a target price of Rs 1450 in its research report dated October 07, 2020.

October 07, 2020 / 03:27 PM IST
  • bselive
  • nselive
Todays L/H

ICICI Direct's research report on Titan Company

In its preview of Q2FY21, the management indicated that Titan’s jewellery division saw a sharp recovery in Q2FY21 signifying the inherent strength of the business model. Jewellery sales have now reached 98% of pre-Covid levels (on a comparatively lower base), which were higher than the management’s expectations of 80% recovery rate. Despite various headwinds, Titan continued on its store addition spree by opening 14 Tanishq stores in H1FY21 (eight stores added in Q2FY21). The liquidity stress faced by regional unorganised players can play out as an opportunity for Titan. Titan’s healthy balance sheet will enable it to capture market share growth opportunities through healthy store additions. Watches division recovery is sluggish with sales reaching 55% of pre-Covid levels in Q2FY20 (September: 70%). Sustained investments over the last three years to enhance digital presence have started yielding positive results during tough times. Going forward, the overall demand trend for the festive season in Q3FY21E appears positive.


We upgrade the stock from HOLD to BUY with a revised target price of Rs 1450 (50.0x FY23E EPS, previous TP: 1170).

For all recommendations report, click here

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

Broker Research
first published: Oct 7, 2020 03:27 pm

stay updated

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