BSE:500114

Stock Analysis Report

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Executive Summary

Titan Company Limited, together with its subsidiaries, manufactures and sells watches, jewelry, eyewear, and other accessories and products in India and internationally. More Details


Snowflake Analysis

Exceptional growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has Titan's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 500114 is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 500114's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-4.7%

500114

-3.4%

IN Luxury

-0.3%

IN Market


1 Year Return

24.2%

500114

11.2%

IN Luxury

15.9%

IN Market

Return vs Industry: 500114 exceeded the Indian Luxury industry which returned 11.4% over the past year.

Return vs Market: 500114 exceeded the Indian Market which returned 15.9% over the past year.


Shareholder returns

500114IndustryMarket
7 Day-4.7%-3.4%-0.3%
30 Day-1.7%2.4%4.9%
90 Day20.7%24.8%24.5%
1 Year24.7%24.2%12.0%11.2%18.0%15.9%
3 Year67.5%65.4%12.2%9.9%9.7%4.4%
5 Year334.6%324.3%78.6%70.3%82.1%68.4%

Long-Term Price Volatility Vs. Market

How volatile is Titan's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Titan undervalued compared to its fair value and its price relative to the market?

184.67x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 500114 (₹1476.25) is trading above our estimate of fair value (₹145.81)

Significantly Below Fair Value: 500114 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 500114 is poor value based on its PE Ratio (184.7x) compared to the IN Luxury industry average (19.7x).

PE vs Market: 500114 is poor value based on its PE Ratio (184.7x) compared to the Indian market (19.5x).


Price to Earnings Growth Ratio

PEG Ratio: 500114 is poor value based on its PEG Ratio (3.5x)


Price to Book Ratio

PB vs Industry: 500114 is overvalued based on its PB Ratio (20.6x) compared to the IN Luxury industry average (0.8x).


Next Steps

Future Growth

How is Titan forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

52.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 500114's forecast earnings growth (52.3% per year) is above the savings rate (7%).

Earnings vs Market: 500114's earnings (52.3% per year) are forecast to grow faster than the Indian market (25.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 500114's revenue (23.8% per year) is forecast to grow faster than the Indian market (11.7% per year).

High Growth Revenue: 500114's revenue (23.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 500114's Return on Equity is forecast to be high in 3 years time (24.2%)


Next Steps

Past Performance

How has Titan performed over the past 5 years?

10.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 500114 has high quality earnings.

Growing Profit Margin: 500114's current net profit margins (4%) are lower than last year (7%).


Past Earnings Growth Analysis

Earnings Trend: 500114's earnings have grown by 10.2% per year over the past 5 years.

Accelerating Growth: 500114's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 500114 had negative earnings growth (-50.9%) over the past year, making it difficult to compare to the Luxury industry average (-28.3%).


Return on Equity

High ROE: 500114's Return on Equity (10.9%) is considered low.


Next Steps

Financial Health

How is Titan's financial position?


Financial Position Analysis

Short Term Liabilities: 500114's short term assets (₹104.2B) exceed its short term liabilities (₹62.0B).

Long Term Liabilities: 500114's short term assets (₹104.2B) exceed its long term liabilities (₹12.8B).


Debt to Equity History and Analysis

Debt Level: 500114's debt to equity ratio (52.5%) is considered high.

Reducing Debt: 500114's debt to equity ratio has increased from 3.2% to 52.5% over the past 5 years.

Debt Coverage: 500114's debt is well covered by operating cash flow (57.3%).

Interest Coverage: 500114's interest payments on its debt are well covered by EBIT (11.8x coverage).


Balance Sheet


Next Steps

Dividend

What is Titan current dividend yield, its reliability and sustainability?

0.27%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 500114's dividend (0.27%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: 500114's dividend (0.27%) is low compared to the top 25% of dividend payers in the Indian market (1.81%).


Stability and Growth of Payments

Stable Dividend: 500114's dividend payments have been volatile in the past 10 years.

Growing Dividend: 500114's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50%), 500114's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 500114's dividends in 3 years are forecast to be well covered by earnings (37% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.5yrs

Average management tenure


CEO

C. Venkataraman (60 yo)

1.25yrs

Tenure

₹42,043,110

Compensation

Mr. C. K. Venkataraman, B.Sc., PGDM serves as Managing Director and Additional Director at Titan Company Limited from October 1, 2019 and served as the Chief Executive Officer of Jewellery of Titan Company...


CEO Compensation Analysis

Compensation vs Market: C.'s total compensation ($USD574.76K) is below average for companies of similar size in the Indian market ($USD938.47K).

Compensation vs Earnings: Insufficient data to compare C.'s compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
C. Venkataraman
MD & Additional Director1.25yrs₹42.04m0.0016%
₹ 20.7m
S. Subramaniam
CFO & Head of IT Function9.83yrs₹22.50mno data
Dinesh Shetty
General Counsel2.42yrs₹8.16m0%
₹ 0
Raj Narayan
Chief Human Resource Officerno datano datano data
V. Raj
Senior Vice President7.75yrs₹3.99mno data
Ajoy Chawla
Chief Executive Officer- Jewelleryno data₹3.66mno data
Arun Narayan
Head of Heliosno data₹3.04mno data
S. Ghai
Regional Business Head of West and Associate Vice Presidentno data₹3.06mno data
Kalpana Rangamani
Head of Retail Trainingno data₹2.88mno data
Revathi Kant
Chief Design Officerno data₹2.49mno data
Saumen Bhaumik
Chief Executive Officer of Eyewearno data₹2.65mno data
Suparna Mitra
Chief Executive Officer - Watches and Wearables Division5.5yrs₹2.74m0.0032%
₹ 41.3m

5.5yrs

Average Tenure

52yo

Average Age

Experienced Management: 500114's management team is seasoned and experienced (5.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
C. Venkataraman
MD & Additional Director1.25yrs₹42.04m0.0016%
₹ 20.7m
Sandeep Singhal
Independent Director0.17yrno datano data
Bhaskar Bhat
Non-Executive Non-Independent Director1.25yrs₹70.24m0.015%
₹ 194.8m
Noel Tata
Vice-Chairman of the Board2.67yrs₹420.00k0.0053%
₹ 69.2m
B. Santhanam
Independent Director2.67yrs₹4.82mno data
Narayanaswamy Muruganandam
Non-Executive Non-Independent Chairman1.83yrs₹3.25mno data
Ashwani Puri
Non-Executive Independent Director4.67yrs₹5.88mno data
V. Roy
Non-Executive Non-Independent Nominee Director2.17yrs₹3.49mno data
Pradyumna Vyas
Independent Director1.83yrs₹2.89mno data
Mohanasankar Sivaprakasam
Additional Independent Director1.5yrs₹2.46mno data
Kakarla Usha
Non Executive Non-Independent Director1.17yrs₹800.00k0.000010%
₹ 131.1k
Sindhu Gangadharan
Independent Director0.58yrno datano data

1.7yrs

Average Tenure

60yo

Average Age

Experienced Board: 500114's board of directors are not considered experienced ( 1.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 500114 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Titan Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Titan Company Limited
  • Ticker: 500114
  • Exchange: BSE
  • Founded: 1984
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹1.311t
  • Shares outstanding: 887.79m
  • Website: https://www.titan.co.in

Number of Employees


Location

  • Titan Company Limited
  • Integrity No. 193
  • Veerasandra
  • Bengaluru
  • Karnataka
  • 560100
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500114BSE (Mumbai Stock Exchange)YesEquity SharesININRNov 1999
TITANNSEI (National Stock Exchange of India)YesEquity SharesININRNov 1999

Biography

Titan Company Limited, together with its subsidiaries, manufactures and sells watches, jewelry, eyewear, and other accessories and products in India and internationally. It operates through four segments: ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/16 12:03
End of Day Share Price2021/01/15 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.