Tata Group stock poised for 15% upside, Bernstein says with 'buy' rating
Published on 26/08/2025 09:04 AM
Tata Group stock poised for 15% upside, Bernstein says with 'buy' ratingThe brokerage wrote in its note that Titan is well positioned to benefit from India's growing shift towards organised players and modern consumer preferences.By Meghna Sen August 26, 2025, 9:04:59 AM IST (Published)2 Min ReadShares of Titan Company Ltd. will be in focus on Tuesday, August 26, after brokerage firm Bernstein initiated coverage on the Tata Group firm.
Bernstein initiated coverage on the stock with an 'Outperform' rating, and a price target of ₹4,200 per share. The target implies a potential upside of 15% from Monday's closing levels.
The brokerage wrote in its note that Titan is well positioned to benefit from India's growing shift towards organised players and modern consumer preferences.
Bernstein pointed out Titan's strong track record of delivering a 23% CAGR in earnings per share over the past two decades, while forecasting 18% revenue and 25% EBIT growth between FY25 and FY28.
Despite its growth credentials, Titan is currently trading at a five-year low price-to-earnings multiple, weighed down by concerns over three factors: a sharp rise in gold prices, intensifying competition, and the evolving dynamics between natural and lab-grown diamonds.
Titan, which operates the Tanishq and CaratLane jewellery brands, recently posted a 52.5% year-on-year jump in first-quarter profit to ₹1,091 crore, supported by higher gold prices.
Revenue rose 24.6% to ₹16,523 crore, while EBITDA margin improved to 11.1% from 9.4% a year earlier, even as consumers shifted to lower-carat and lightweight designs.
Analyst sentiment remains broadly positive: out of 35 covering the stock, 26 have a 'Buy' rating, six recommend 'Hold' and three suggest 'Sell'.
Shares of Titan ended with gains of 0.76% at ₹3,648.70. The stock has risen over 12% so far this year.Continue ReadingNote To ReadersDisclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!Tagsshare market todayTitanTitan CompanyTitan share priceTitan Shares