Morgan Stanely expects revenue/EBITDA/net profit to grow 16/63/55 percent in Q4FY18.
Titan Company share price hit fresh record high of Rs 971.50, rising 3.5 percent intraday after analysts expects strong March quarter performance for jewellery and watch segments.
While having a Buy call on the stock with a target price at Rs 1,090 (16 percent upside), Motilal Oswal feels Q4FY18 turned out to be a good quarter for the jewellery division, with retail growth coming in at mid-teens, despite no new collection launch.
Growth was driven by successful diamond jewellery activation and the revised gold exchange policy while watches performed strongly in the quarter, aided by the multi-brand and e-complatforms, it added.
Prescription Eyewear, too, sustained its growth momentum, while Sunglasses business continued to suffer, it said.
Morgan Stanley has maintained its Overweight rating on the stock with a target price at Rs 1,050, citing likely strong operating profit growth for jewellery and watch segments in Q4FY18.
Revenue growth and operating profits for jewellery and watches have been strong and Titan will achieve its guidance of 2.5x jewellery business revenues by FY22, the global brokerage house feels.
Morgan Stanely expects revenue/EBITDA/net profit to grow 16/63/55 percent in Q4FY18.
At 15:20 hours IST, the stock price was quoting at Rs 960.80, up Rs 22.00, or 2.34 percent on the BSE.