Goal: ₹4,026
CMP: ₹3,410.75
Titan Firm’s Q3-FY25 print was in-line with our estimates whereas larger gold coin gross sales and decrease studded have impacted margin. Console. Income/EBITDA grew at 25.2/7 per cent whereas PAT declined by 0.6 per cent respectively.
Jewelry division (excluding bullion gross sales) reported sturdy progress of 26.6 per cent led by marriage ceremony associated purchases (29 per cent y-o-y progress) and wholesome similar retailer gross sales progress of twenty-two per cent y-o-y (larger progress in South & East adopted by North & West).
Administration alluded this to: larger gold gross sales led by decrease customized obligation, sturdy purchaser progress (48 per cent new purchaser) in decrease ticket measurement (
maintained EBIT margin steering of about 11-11.5 per cent vary on standalone degree in FY26E. By wanting decrease 9MFY25, we tweaked our estimates and retain Purchase, with a DCF-based TP ₹4,026 (implying 47.6x 27E EPS).
Dangers: irrational competitors; decrease demand and rising gold costs.
