Titan Company’s stock jumped nearly 2% today after stockbroker Macquarie awarded the luxury goods company a 55% upside in a year. The company, which is a key holding in the portfolio of ace investor Rakesh Jhunjhunwala, rose 1.97 percent to an intraday high of Rs 1,973.55 on the BSE.
At the conclusion of the March quarter, Jhunjhunwala and his wife Rekha had 4,48,50,970 shares or 5.05 percent of the firm. Rakesh Jhunjhunwala owned 3.53 crore shares, or 3.98 percent of the company, in the most recent quarter. His wife, Rekha, owned 95.40 lakh shares, or 1.07 percent of the company.
On March 21, this year, the stock reached an all-time high of Rs 2,767.55. On July 20, 2021, it reached a 52-week low of Rs 1,661.
After two days of falling, the large-cap stock has risen. Titan Company stock is currently trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages.
The large-cap share has risen 15.17 percent in a year but has fallen 22.03 percent since the beginning of the year. In one month, the stock dropped 8%. Later, the stock closed 1.53 percent higher on the BSE at Rs 1,965.
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A total of 0.55 lakh shares of the company were traded, resulting in a turnover of Rs 10.74 crore. On the BSE, the company’s market capitalization increased to Rs 1.74 lakh crore.
Macquarie has granted the company an outperform rating and set a target price of Rs 3,000, which is 55% higher than the previous close of Rs 1935.3.
According to the brokerage, Channel checks indicate that demand trends remain solid as premium end-users remain reasonably resilient to inflationary challenges. Despite strong demand and expectations for medium-term growth, the company is trading near its five-year average PE ratio.
Credit Suisse, on the other hand, has remained neutral on Titan Company. It has set a target price of Rs 2,600, a 23% increase from the June 14 close.
In the fourth quarter ending March 2022, the company recorded a 7.21 percent decrease in consolidated net profit at Rs 527 crore. In the January-March quarter of FY21, it earned Rs 568 crore in net profit.
Total income increased 4.25 percent to Rs 7,872 crore in Q4 compared to Rs 7,551 crore in the same time the previous year. Revenue from product sales fell 1.14 percent to Rs 7,267 crore in the fourth quarter of FY22, compared to Rs 7,351 crore the previous year.