Titan Shares Fall Over 4% As Q2 FY27 Jewellery Growth Misses Estimates

Titan Company shares fell more than 4% on Wednesday after the jewellery business reported slower-than-expected growth in the September quarter, raising concerns over softer buyer additions and a shift in festive demand.

The stock fell 4.4% to ₹4,350 in early trade, making it the biggest loser on the Nifty 50. The decline came even as brokerages remained positive on the company, pointing to strong growth in studded jewellery and other businesses.

At 12:02 PM, the Titan share price stood at ₹4,375.10 apiece on the National Stock Exchange (NSE), down 3.84%. Titan shares are still up 7.4% so far in 2026, while the Nifty 50 has declined 13.5%.

Titan’s Jewellery Business Grows 21%

Titan's domestic jewellery business grew 21% year-on-year in Q2 FY27. The growth was above the 19.3% consensus estimate cited by CLSA. However, it was below JPMorgan's own expectation of 25%, which led to some pressure on the stock.

Jewellery demand remained strong through July and August, with growth estimated at more than 25%. JPMorgan said the pace slowed in September as festive demand shifted during the quarter. Buyer growth was in the mid-single digits, while average ticket sizes increased at a double-digit rate.

Studded Jewellery Outperforms

The underlying performance across Titan's jewellery categories remained strong despite the overall growth missing some estimates. Studded jewellery recorded growth in the low 30% range, ahead of plain jewellery, which grew around 20%.

The company's major jewellery brands also continued to expand. Tanishq, Mia and Zoya together recorded 20% growth during the quarter, while CaratLane reported 32% growth.

Titan's watches and EyeCare businesses also posted strong growth, rising 30% and 28%, respectively.

International Business Jumps 97%

Titan's international business recorded a sharp increase of 97% year-on-year during the quarter. Overall domestic revenue grew 22%, adding to the company's growth across its non-jewellery businesses.

Titan had also indicated in its quarterly update on Tuesday that Damas, in which it acquired a 67% stake last year, was beginning to show signs of recovery.

Brokerages Remain Positive On Titan

The weaker-than-expected jewellery growth has not changed the broader view among brokerages. CLSA highlighted the 21% domestic jewellery growth, which was above its cited consensus estimate. JPMorgan, meanwhile, pointed to the gap between the reported growth and its own 25% expectation.

The stock's sharp fall on Wednesday therefore comes against a quarter where several parts of Titan's business continued to grow at a strong pace. Investors are now weighing the softer September jewellery performance against the strong showing in studded jewellery, CaratLane, watches, EyeCare and international operations.

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