Titan Hits Record High Taking Market Cap Above Rs 1 Lakh Crore

Jewellery-to-watch maker Titan Company shares gained a percent to hit a record high of Rs 1,160 in the morning trade on April 25, taking its market capitalisation to Rs 1 lakh crore.

In last one year, the stock has rallied 25 percent on good earnings growth and management outlook.

It was quoting at Rs 1,158.30, up Rs 10.75, or 0.94 percent on the BSE, at 0921 hours IST.Market capitalisation stood at Rs 1,02,832.27 crore.

Earlier this month, Titan had said it expects to achieve 20 percent revenue growth despite muted industry demand growth in FY19.

This is on the back of 1) 20 percent sales growth in jewellery business led by higher number of wedding, 35 stores additions in FY19, increased share of wedding jewellery and high-value diamond jewellery and gains from consumer shift from unorganised to organised sector 2) steady growth in watch division led by new launches and success of smartwatches and 3) benefits from backward integration in the eyewear business.

Jewellery division grew 22 percent in FY19 led by strong same store growth and market share gains despite slow growth in the industry while watches business increased around 16 percent in FY19 led by new product launches across brands and growth in the e-commerce channel.

Brokerages remained positive on the stock after strong guidance for financial year 2019-20.

Courtesy: Money Control