Shares of Titan Company Ltd came under pressure after its Q1FY26 business update revealed disappointing growth in its key jewellery segment, triggering concern among investors and analysts alike.
The company reported just 9% YoY growth in jewellery sales, a significant miss compared to previous double-digit trends. This slowdown was attributed to muted wedding demand, high gold prices, and a challenging base effect. While the eyewear segment saw decent traction and watches & wearables continued their upward momentum, the weak jewellery growth which contributes over 80% of Titan’s revenue stole the spotlight.
Several brokerages have expressed concern:
One global brokerage flagged that the Q1 update was below expectations, especially in the core segment, and could weigh on near-term valuations. Others have pointed to rich valuations vs. peers like Senco Gold or Kalyan Jewellers, and highlighted that slowing same-store growth might drag on margin performance.
The market also took cues from broader jewellery sector trends, with Senco Gold and PN Gadgil Jewellers also showing mixed signals in their Q1 updates reinforcing that the weakness may be industry-wide rather than company-specific. Despite short-term disappointment, Titan remains a long-term structural play on premiumisation, brand trust, and organized jewellery penetration. However, near-term sentiment may stay cautious until festive demand or price stability offers a turnaround trigger.
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