Titan shares fall 5% after Q2FY27 results despite growth
Titan's stock dropped sharply on October 7 despite reporting nearly 25% YoY growth in its consumer businesses for Q2FY27.
Titan Company shares fell nearly 5% intraday on October 7, 2026, following its Q2FY27 business update. The company reported nearly 25% year-on-year growth in its consumer businesses for the quarter and added 78 stores on a net basis, expanding its combined retail network to 3,758 stores.
Titan's share price opened at ₹4,420.05 and fell to an intraday low of ₹4,334.90, down 4.5% from the previous close of ₹4,540. The stock is down 5% in October so far, after a 10% fall in September, despite being up 28% over the last year. The corrective move has reached the one-year exponential moving average support around ₹4,322. A decisive close below ₹4,322 could drag the stock toward positional supports at ₹4,150-₹4,000.
Segment performance shows mixed trends
Growth was strong in several consumer segments, while domestic jewellery and coin demand showed moderation. The company's domestic jewellery portfolio recorded 21% year-on-year growth. Within that, studded jewellery grew in the early thirties, supported by promotions, while plain gold jewellery grew 20%. Investment-led coin demand declined in the high single digits off a high base. Average ticket sizes grew by double digits, with buyer growth remaining in the mid-single digits.
The watch segment grew 30% year-on-year. Analog watches grew in the early thirties, and the Smart Watches business recovered with high single-digit growth. The EyeCare division delivered 28% growth. Other segments also posted gains: Fragrances grew in the mid-thirties, women's bags grew in the twenties, and Taneira recorded high single-digit growth.
Analysts weigh in on results and valuation
Brokerages maintained positive ratings but noted misses in jewellery growth, citing a festive shift and weaker coin demand. Citi retained its buy rating with a target price of ₹5,700. It said domestic jewellery growth excluding bullion was around 20%, below its 27% estimate, attributing the miss primarily to the festive shift to Q3 and softer coin demand. Citi highlighted that the recent stock correction offered an attractive entry point.
CLSA maintained an outperform rating with a target price of ₹5,590, noting domestic jewellery growth of 21% was above its consensus expectation of 19.3%. HSBC kept its buy rating and ₹5,510 target, stating Q2 sales were lower than expected partly due to the festive timing, but the mix was better given lower coin sales. It trimmed its jewellery revenue estimate by 1%. JPMorgan maintained overweight with a ₹5,540 target, saying Q2 revenue was below expectations as domestic jewellery growth moderated to 21%. It highlighted a 32% revenue growth at CaratLane and expects the stock reaction to be negative following the Q2 revenue miss.
Stock tests key technical levels
The sharp drop breached major support near ₹4,600, which coincided with the 200-week exponential moving average. The next important support is expected around ₹4,200, with ₹4,600 now acting as immediate resistance. Analyst Jigar S. Patel noted Titan's daily Relative Strength Index slipped below 30, indicating an oversold condition. The last time this happened was in September 2025. The ₹4,150-₹4,000 zone is considered a strong value-buy zone for medium- to long-term accumulation. Titan shares traded at ₹4,362 on the NSE in morning trade, after hitting a low of ₹4,335.60.
