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Titan shares gain 4% after strong Q2 update; Analysts expect stock to rise furtherBrokerages such as Nomura and Morgan Stanley are positive on the stock. While Nomura projects a potential upside of 25%, Morgan Stanley sees a 15% upside potential.By Mangalam Maloo    | Shloka Badkar   October 8, 2025, 9:25:46 AM IST (Published)2 Min ReadShares of Titan Ltd. gained nearly 4% in early trade on Wednesday, October 8, reacting to their second-quarter business update.

Titan's domestic jewellery business delivered a 19% growth during the quarter compared to the same quarter last year.

The company said the surging gold prices drove a substantial increase in ticket prices. This also resulted in a marginal decline in buyers compared to the previous year.

The second quarter of the financial year 2025 had a high base due to the customs duty reduction, Titan said. The early onset of the festive season offset the high base, it added.

Studded jewellery grew in mid-teens, outpacing plain gold jewellery growth, while gold coins continued their strong run.

Titan's emerging businesses increased 37%, led by —  48% growth in fragrances, 90% growth in women's bags, and 13% growth in Taneira.

Nomura, Morgan Stanley Optimistic

Brokerages such as Nomura and Morgan Stanley are positive on the stock. While Nomura projects a potential upside of 25%, Morgan Stanley sees a 15% upside potential.

Nomura has a "buy" rating on the stock with a price target of ₹4,275 per share. It said that Titan's consolidated sales growth, excluding the core jewellery business is above its estimates.

Its overall sales growth is also better than what the brokerage projected. Titan's like-to-like sales growth for Tanishq and CarateLane brands was in double-digits.

The performance of the watches and eyecare segments (domestic) were largely in-line with its estimates. Strong growth continues in the emerging business (domestic) and the international business, it said.

Morgan Stanley has an "overweight" rating on the stock with a price target of ₹3,953 apiece.

Titan's September quarter business revenue for its Tanishq, Mia and Zoya brands grew 18%, which was higher than the 12% estimate.

The growth was also aided by significant investments in consumer promotions, which included marketing initiatives and exchange offers that aided demand. Studded jewellery showed mid-teens revenue growth, while gold coins sustained their growth trajectory, the brokerage said.

Of the 38 analysts that have coverage on the stock, 29 have a "buy" rating, six have a "hold" rating and three have a "sell" rating.

Titan shares gained 3.65% at ₹3,542.9 apiece in early trade on Wednesday. The stock has gained 13.5% in the last six months.

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