Rekha Jhunjhunwala Portfolio Stock, Share Price Target: 1000% Dividend! Motilal Oswal sees Rs 500 upside

rekha jhunjhunwala portfolio stock, share price target: 1000% dividend! motilal oswal sees rs 500 upside

Rekha Jhunjhunwala Portfolio Stock: Brokerage firm Motilal Oswal has maintained its ‘BUY’ rating on a Rekha Jhunjhunwala portfolio stock. The brokerage has reiterated its rating after its interaction with the jeweller maker’s management on subjects such as jewellery industry demand, rising competition, and the company’s growth strategy for its business segments such as jewellery, lab-grown diamonds (LGDs), and non-jewellery.

The company in discussion is Titan Company Ltd. It’s shares have yielded a massive return of 88,421.08 per cent till date.

Rekha Jhunjhunwala owns 5.37 per cent stake in the Tata Group firm as on December 31, 2023. Her stake is worth Rs 18,012.1 crore as of the current market price. That makes Titan Jhunjhunwala’s biggest portfolio stock in terms of value.

Titan Share Price Target

Motilal Oswal has set a target price of Rs 4,300.

“We are cautious about the near-term consumption trend, but we continue to prefer Titan for its best-in-class execution track record and its eagerness to expand the user base. Consumer preference for branded jewellers will keep the robust growth rate intact for the category. We reiterate our BUY rating with a target price of Rs 4,300 (based on 65x FY26E EPS),” the brokerage firm said in its report.

At the time of writing, Titan’s last traded price was Rs 3,796.60 apiece on NSE. From this price, Motilal Oswal’s target price represents a potential upside of up to 13.25 per cent.

Motilal Oswal, in its report, also noted that the demand remained steady for Titan in January and February but the gold inflation in March has led to delay in demand, which is a typical trend in gold inflation months. While the company continues to expand its store network, it is also focusing on better execution at the existing stores. It added 340 jewellery stores in the last two years.

“Titan has reduced the gold premium compared to peers in a calibrated manner, which has been compensated with other initiatives to protect operating margin. The management believes that jewellery EBIT margin of 12-13 per cent is sustainable despite rising competition. LGDs have seen success in many developed countries, yet TTAN is not sure it would participate in LGDs,” it said.

Titan Share Price History

Titan is a constituent of S&P BSE Sensex and commands a market cap of Rs 3,36,945.92 crore, as of the current market price.

Its shares, according to BSE Analytics, have gained 4.71 per cent in the past week, and 5.77 per cent in the past month. Over three months and six months, the scrip gave returns of 2.25 per cent and 20.23 per cent, respectively.

Over one year, it yielded a return of 52 per cent. Looking further back, the jeweller’s stock gave returns of 152 per cent and 1401 per cent in the past three and 10 years, respectively.