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Titan

NSEI:TITAN
Snowflake Description

Outstanding track record with reasonable growth potential and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TITAN
NSEI
₹917B
Market Cap
  1. Home
  2. IN
  3. Consumer Durables
Company description

Titan Company Limited, together with its subsidiaries, manufactures and sells watches, jewelry, eyewear, and other accessories and products in India and internationally. The last earnings update was 20 days ago. More info.


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TITAN Share Price and Events
7 Day Returns
-0.9%
NSEI:TITAN
-2.7%
IN Luxury
-0.7%
IN Market
1 Year Returns
26.3%
NSEI:TITAN
-9.5%
IN Luxury
-8.3%
IN Market
TITAN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Titan (TITAN) -0.9% 5.1% 12.8% 26.3% 219% 320.5%
IN Luxury -2.7% -1.8% -3.4% -9.5% 52.6% 182.5%
IN Market -0.7% -4% -2.1% -8.3% 45% 78.7%
1 Year Return vs Industry and Market
  • TITAN outperformed the Luxury industry which returned -9.5% over the past year.
  • TITAN outperformed the Market in India which returned -8.3% over the past year.
Price Volatility
TITAN
Industry
5yr Volatility vs Market

TITAN Value

 Is Titan undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Titan to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our calculation method for this is changing soon.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Titan.

NSEI:TITAN Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 19 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 13.5%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NSEI:TITAN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 7.5%
Luxury Unlevered Beta Simply Wall St/ S&P Global 0.57
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.573 (1 + (1- 35%) (1.84%))
0.58
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.8 * 7.45%)
13.51%

Discounted Cash Flow Calculation for NSEI:TITAN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Titan is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NSEI:TITAN DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (INR, Millions) 7,230.00 9,629.31 12,412.79 13,776.80 15,290.69
Source Analyst x6 Analyst x10 Analyst x8 Est @ 10.99% Est @ 10.99%
Present Value
Discounted (@ 13.51%)
6,369.48 7,473.55 8,487.25 8,298.73 8,114.40
Present value of next 5 years cash flows ₹38,743.42
NSEI:TITAN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= ₹15,290.69 × (1 + 7.55%) ÷ (13.51% – 7.55%)
₹275,925.09
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= ₹275,925.09 ÷ (1 + 13.51%)5
₹146,426.80
NSEI:TITAN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= ₹38,743.42 + ₹146,426.80
₹185,170.22
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹185,170.22 / 887.79
₹206.65
NSEI:TITAN Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NSEI:TITAN represents 0.99075x of BSE:500114
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.99075x
Value per Share
(Listing Adjusted, INR)
= Value per Share (INR) x Listing Adjustment Factor
= ₹ 208.58 x 0.99075
₹206.65
Value per share (INR) From above. ₹206.65
Current discount Discount to share price of ₹1,032.75
= -1 x (₹1,032.75 - ₹206.65) / ₹206.65
-399.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Titan is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Titan's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Titan's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NSEI:TITAN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in INR ₹15.38
BSE:500114 Share Price ** BSE (2019-02-20) in INR ₹1042.4
India Luxury Industry PE Ratio Median Figure of 236 Publicly-Listed Luxury Companies 11.59x
India Market PE Ratio Median Figure of 2,710 Publicly-Listed Companies 15.23x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Titan.

NSEI:TITAN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:500114 Share Price ÷ EPS (both in INR)

= 1042.4 ÷ 15.38

67.78x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Titan is overvalued based on earnings compared to the IN Luxury industry average.
  • Titan is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Titan's expected growth come at a high price?
Raw Data
NSEI:TITAN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 67.78x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 19 Analysts
19%per year
India Luxury Industry PEG Ratio Median Figure of 27 Publicly-Listed Luxury Companies 0.98x
India Market PEG Ratio Median Figure of 594 Publicly-Listed Companies 1.12x

*Line of best fit is calculated by linear regression .

NSEI:TITAN PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 67.78x ÷ 19%

3.56x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Titan is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Titan's assets?
Raw Data
NSEI:TITAN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in INR ₹57.33
BSE:500114 Share Price * BSE (2019-02-20) in INR ₹1042.4
India Luxury Industry PB Ratio Median Figure of 306 Publicly-Listed Luxury Companies 0.71x
India Market PB Ratio Median Figure of 3,587 Publicly-Listed Companies 1.04x
NSEI:TITAN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:500114 Share Price ÷ Book Value per Share (both in INR)

= 1042.4 ÷ 57.33

18.18x

* Primary Listing of Titan.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Titan is overvalued based on assets compared to the IN Luxury industry average.
X
Value checks
We assess Titan's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Luxury industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Luxury industry average (and greater than 0)? (1 check)
  5. Titan has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

TITAN Future Performance

 How is Titan expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
19%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Titan expected to grow at an attractive rate?
  • Titan's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Titan's earnings growth is expected to exceed the India market average.
  • Titan's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
NSEI:TITAN Future Growth Rates Data Sources
Data Point Source Value (per year)
NSEI:TITAN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 19 Analysts 19%
NSEI:TITAN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 19 Analysts 17.5%
India Luxury Industry Earnings Growth Rate Market Cap Weighted Average 18.4%
India Luxury Industry Revenue Growth Rate Market Cap Weighted Average 15%
India Market Earnings Growth Rate Market Cap Weighted Average 18.4%
India Market Revenue Growth Rate Market Cap Weighted Average 11.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NSEI:TITAN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 19 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NSEI:TITAN Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 270,037 15,721 21,543 18
2020-03-31 229,281 13,053 18,843 19
2019-03-31 192,123 13,009 15,041 18
NSEI:TITAN Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-12-31 189,970 13,656
2018-09-30 176,798 12,356
2018-06-30 165,035 12,183
2018-03-31 161,198 -507 11,301
2017-12-31 153,048 9,994
2017-09-30 149,546 9,484
2017-06-30 141,614 8,338
2017-03-31 132,608 17,123 7,115
2016-03-31 112,759 5,761 6,745

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Titan's earnings are expected to grow by 19% yearly, however this is not considered high growth (20% yearly).
  • Titan's revenue is expected to grow by 17.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NSEI:TITAN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 19 Analyst Estimates (S&P Global) See Below

All data from Titan Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:TITAN Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 25.02 28.10 22.80 14.00
2020-03-31 21.28 25.60 19.30 15.00
2019-03-31 17.23 20.40 16.00 12.00
NSEI:TITAN Past Financials Data
Date (Data in INR Millions) EPS *
2018-12-31 15.38
2018-09-30 14.13
2018-06-30 13.72
2018-03-31 12.73
2017-12-31
2017-09-30 10.63
2017-06-30 9.34
2017-03-31 8.01
2016-03-31 7.60

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Titan is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Titan's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Titan has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

TITAN Past Performance

  How has Titan performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Titan's growth in the last year to its industry (Luxury).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Titan's year on year earnings growth rate has been positive over the past 5 years.
  • Titan's 1-year earnings growth exceeds its 5-year average (36.6% vs 12.9%)
  • Titan's earnings growth has exceeded the IN Luxury industry average in the past year (36.6% vs 14.1%).
Earnings and Revenue History
Titan's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Titan Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:TITAN Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 189,969.70 13,655.90 17,683.60
2018-09-30 176,798.20 12,355.60 17,274.30
2018-06-30 165,035.10 12,183.00 16,626.00
2018-03-31 161,197.70 11,300.90 15,960.40
2017-12-31 153,048.40 9,994.00 10,959.90
2017-09-30 149,545.60 9,483.70 10,511.70
2017-06-30 141,614.10 8,338.30 10,187.80
2017-03-31 132,608.30 7,114.70 9,828.60
2016-03-31 112,758.90 6,745.20 8,816.60
2015-03-31 119,134.10 8,162.60 6,774.20
2014-03-31 109,273.90 7,349.40 12,610.60
2013-03-31 101,232.94 7,253.77 13,575.32
2012-03-31 88,484.28 6,013.56 11,996.13

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Titan has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Titan used its assets more efficiently than the IN Luxury industry average last year based on Return on Assets.
  • Titan has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Titan's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Luxury industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Titan has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

TITAN Health

 How is Titan's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Titan's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Titan is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Titan's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Titan's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 4.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Titan Company Filings, last reported 1 month ago.

NSEI:TITAN Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31
2018-09-30
2018-06-30 50,880.60 16,911.00 4,871.20
2018-03-31 50,880.60 16,911.00 4,871.20
2017-12-31 44,562.30 4,456.20 5,957.20
2017-09-30 44,562.30 4,456.20 5,957.20
2017-06-30 42,587.40 1.10 12,113.10
2017-03-31 42,587.40 18,825.40 10,872.80
2016-03-31 35,062.80 1,131.70 1,310.80
2015-03-31 30,838.70 999.20 2,138.10
2014-03-31 25,227.30 8,069.70 8,926.70
2013-03-31 19,698.52 61.81 11,390.42
2012-03-31 14,609.19 113.11 9,670.95
  • Titan's level of debt (33.2%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (9.9% vs 33.2% today).
  • Operating cash flow is negative therefore debt is not well covered.
  • Titan earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Titan's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Titan has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

TITAN Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.36%
Current annual income from Titan dividends. Estimated to be 0.56% next year.
If you bought ₹2,000 of Titan shares you are expected to receive ₹7 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Titan's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.56%).
  • Titan's dividend is below the markets top 25% of dividend payers in India (2.11%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NSEI:TITAN Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 19 Analyst Estimates (S&P Global) See Below
India Luxury Industry Average Dividend Yield Market Cap Weighted Average of 109 Stocks 0.7%
India Market Average Dividend Yield Market Cap Weighted Average of 1397 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.6%
India Top 25% Dividend Yield 75th Percentile 2.1%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NSEI:TITAN Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 7.29 15.00
2020-03-31 5.82 15.00
2019-03-31 4.34 14.00
NSEI:TITAN Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2018-07-10 3.750 0.420
2018-05-10 3.750 0.419
2017-07-05 2.600 0.356
2016-03-16 2.200 0.556
2015-07-08 2.300 0.668
2015-05-07 2.300 0.634
2014-07-04 2.100 0.550
2014-05-06 2.100 0.657
2013-07-16 2.100 0.879
2013-05-03 2.100 0.827
2012-06-25 1.750 0.685
2012-04-30 1.750 0.770
2011-06-14 1.250 0.595
2011-04-29 1.250 0.599
2010-07-28 0.750 0.442
2010-06-07 0.750 0.622
2009-05-04 0.400 0.575
2009-03-31 0.400 1.008
2009-02-24 0.400 1.078

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Titan's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.6x coverage).
X
Income/ dividend checks
We assess Titan's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Titan afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Titan has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

TITAN Management

 What is the CEO of Titan's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Bhaskar Bhat
COMPENSATION ₹66,435,953
AGE 64
TENURE AS CEO 16.8 years
CEO Bio

Mr. Bhaskar Bhat, B.Tech, PGDM is an Advisor at Incube Ventures Pvt Ltd. He has been the Managing Director of Titan Company Limited since April 1, 2002 and also serves as its Chief Executive Officer. At Titan, Mr. Bhat has been involved in Sales & Marketing, HR, International Business and various general managerial assignments. Since 1983, he has been associated with the Tata Watch Project, now Titan Company Limited. He started his career as a Management Trainee at Godrej & Boyce Manufacturing in 1978. After spending five years at Godrej, he joined the Titan Company Limited initiated by Tata Press in 1983. He has been the Chairman at Tata Ceramics Ltd. since March 5, 2012. He has been Chairman of the Board at Rallis India Limited since December 25, 2015 and has been its Non-Independent & Non-Executive Director since October 8, 2015. He serves as a Member of Advisory Board at Incube Ventures Pvt Ltd. He serves as a Director of Virgin Mobile India Limited; Titan International Holdings BV; Titan Watches & Jewellery International (Asia Pacific) Pte Ltd; Titan Holdings Ltd; Titan Properties Ltd. and Titan International Marketing Ltd. He has been a Non Independent Non Executive Director at Trent Ltd. since September 27, 2010. He has been an Independent Director of Bosch Ltd since January 1, 2013. He is a Member of the Governing Council of the T.A. Pai Management Institute, Manipal and the SDM Institute of Management and Development, Mysore. He has been a Non-Executive Director of Tata Chemicals Limited since December 23, 2016. He served as a Non-Independent & Non-Executive Director of Tata Chemicals Limited since October 20, 2015 until November 10, 2016. He has received the Distinguished Alumnus Award in IIT Madras in 2008. He serves as Executive Non Independent Director of Titan Company Limited. Mr. Bhat has completed his Post Graduate Diploma (PGDM) in Management from Indian Institute of Management (IIM), Ahmedabad in 1978 and has received a B.Tech in Mechanical Engineering from Indian Institute of Technology (IIT), Madras in 1976.

CEO Compensation
  • Bhaskar's compensation has been consistent with company performance over the past year.
  • Bhaskar's remuneration is about average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Titan management team in years:

7.9
Average Tenure
58
Average Age
  • The average tenure for the Titan management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Bhaskar Bhat

TITLE
CEO, MD & Executive Non Independent Director
COMPENSATION
₹66M
AGE
64
TENURE
16.8 yrs

Subbu Subramaniam

TITLE
CFO & Head of IT Function
COMPENSATION
₹23M
TENURE
7.9 yrs

Dinesh Shetty

TITLE
General Counsel

S. Kant

TITLE
Executive VP of Corporate Communications and CEO of Watches & Accessories
COMPENSATION
₹5M
AGE
58

Raj Narayan

TITLE
Chief Human Resource Officer

C. Venkataraman

TITLE
Chief Executive Officer of Jewellery
COMPENSATION
₹7M
AGE
57

Ronnie Talati

TITLE
Chief Executive Officer of Eyewear
COMPENSATION
₹4M
AGE
58

V. Raj

TITLE
Senior Vice President
COMPENSATION
₹4M
AGE
63
TENURE
5.8 yrs

Sandeep Kulhalli

TITLE
Senior Vice President of Retail & Marketing - Tanishq
COMPENSATION
₹4M
AGE
58

Ajoy Chawla

TITLE
Chief Strategy Officer and Senior VP of Strategy & Business Incubation
COMPENSATION
₹4M
AGE
51
Board of Directors Tenure

Average tenure and age of the Titan board of directors in years:

3.3
Average Tenure
60
Average Age
  • The tenure for the Titan board of directors is about average.
Board of Directors

K. Gnanadesikan

TITLE
Chairman
AGE
59
TENURE
1 yrs

Bhaskar Bhat

TITLE
CEO, MD & Executive Non Independent Director
COMPENSATION
₹66M
AGE
64
TENURE
3.8 yrs

Noel Tata

TITLE
Vice-Chairman of the Board
COMPENSATION
₹220K
AGE
62
TENURE
0.8 yrs

Tirumalai Balaji

TITLE
Non Executive Independent Director
COMPENSATION
₹6M
AGE
70
TENURE
32.9 yrs

Hema Ravichandar

TITLE
Non Executive Independent Director
COMPENSATION
₹6M
AGE
57
TENURE
9.9 yrs

Ireena Vittal

TITLE
Non Executive Independent Director
COMPENSATION
₹7M
AGE
50
TENURE
6.1 yrs

Ashwani Puri

TITLE
Non-Executive Independent Director
COMPENSATION
₹7M
AGE
62
TENURE
2.8 yrs

Harish Bhat

TITLE
Non-Executive Non-Independent Director
COMPENSATION
₹385K
AGE
56
TENURE
3.8 yrs

Ramesh Meena

TITLE
Director
COMPENSATION
₹753K
AGE
53
TENURE
1.1 yrs

B. Santhanam

TITLE
Independent Director
AGE
61
TENURE
0.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
24. Oct 18 Buy Suparna Mitra Individual 23. May 18 23. May 18 2,000 ₹917.50 ₹1,835,000
19. Sep 18 Buy Bhaskar Bhat Individual 18. Sep 18 18. Sep 18 2,000 ₹832.00 ₹1,664,000
X
Management checks
We assess Titan's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Titan has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

TITAN News

Simply Wall St News

Can Titan Company Limited (NSE:TITAN) Maintain Its Strong Returns?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every ₹1 worth of equity in the company, it was able to earn ₹0.24. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does Titan Company Limited's (NSE:TITAN) Stock Price Account For Its Growth?

Titan Company Limited (NSE:TITAN) closed yesterday at ₹941.55, which left some investors asking whether the high earnings potential can still be justified at this price. … See our latest analysis for Titan? … Titan is poised for significantly high earnings growth in the near future

Simply Wall St -

What Are Analysts Saying About Titan Company Limited's (NSE:TITAN) Future Margins?

Titan Company Limited (NSE:TITAN) to … earnings growth of 21.16% annualised … it's important to take a step back

Simply Wall St -

What You Must Know About Titan Company Limited's (NSE:TITAN) Financial Health

Most investors favour these big stocks due to their strong balance sheet and high market liquidity, meaning there are an adundance of stock in the public market available for trading. … These companies are resilient in times of low liquidity and are relatively unimpacted by interest rate hikes. … Assessing the most recent data for TITAN, I will take you through the key ratios to measure financial health, in particular, its solvency and liquidity.

Simply Wall St -

Should You Expect Titan Company Limited (NSE:TITAN) To Continue Delivering An ROE Of 21.66%?

This analysis is intended to introduce important early concepts to people who are starting to invest. … and want to start learning about core concepts of fundamental analysis on practical examples from today's market. … Titan Company Limited (NSE:TITAN) delivered an ROE of 21.66% over the past 12 months, which is an impressive feat relative to its industry average of 7.44% during the same period.

Simply Wall St -

Titan Company Limited (NSE:TITAN): Is It A Good Long Term Opportunity?

The most recent earnings announcement Titan Company Limited's (NSE:TITAN) released in March 2018a … company

Simply Wall St -

Should You Buy Titan Company Limited (NSE:TITAN) Now?

received a lot of attention from a substantial price movement on the NSEI over the last few months, increasing to ₹997.6 at one point, and dropping to the lows of ₹863.95. … A question to answer is whether Titan's current trading price of ₹864 reflective of the actual value of the? … Let’s take a look at Titan’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Should You Buy Titan Company Limited (NSE:TITAN) Based On These Aspects?

Titan Company Limited (NSE:TITAN) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … In the case of TITAN, it

Simply Wall St -

With An ROE Of 21.90%, Has Titan Company Limited's (NSE:TITAN) Management Done Well?

View our latest analysis for Titan Breaking down Return on Equity Return on Equity (ROE) is a measure of Titan’s profit relative to its shareholders’ equity. … ROE can be dissected into three distinct ratios: net profit margin, asset turnover, and financial leverage. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NSEI:TITAN Last Perf Apr 17th 18 The first component is profit margin, which measures how much of sales is retained after the company pays for all its expenses.

Simply Wall St -

Is There Now An Opportunity In Titan Company Limited (NSE:TITAN)?

In addition to this, it seems like Titan’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to fall back down to an attractive buying range, and secondly, there may be less chances to buy low in the future once it reaches that value. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … If you believe TITAN should trade below its current price, selling high and buying it back up again when its price falls towards its real value can be profitable.

Simply Wall St -

TITAN Company Info

Map
Description

Titan Company Limited, together with its subsidiaries, manufactures and sells watches, jewelry, eyewear, and other accessories and products in India and internationally. The company operates through four segments: Watches, Jewellery, Eyewear, and Others. It provides watches under the Titan Edge, Titan Raga, Nebula, Zoop, Orion, Purple, Obaku, Automatic, Tycoon, Bandhan, Octane, HTSE series, Fastrack, Sonata, and Xylys brands; Tommy Hilfiger, Timberland, Police, and FCUK brands under a licensed agreement; and Helios brand. The company also offers gold and platinum jewelry, as well as gold jewelry studded with diamonds, and precious and semi-precious stones under the Tanishq, Zoya, Mia, and CaratLane brands; and eyewear, including frames, sunglasses, lenses, contact lenses, and accessories primarily under Titan, Titan Eye+, and Dash brands, as well as under the Levis, Esprit, Hugo Boss, etc. In addition, it provides precision engineering components and sub-assemblies, machine building and automation solutions, tooling solutions, tooling solutions, and electronic sub-assemblies to the aerospace, automotive, oil and gas, engineering, hydraulics, solar, and medical instruments industries. Further, the company offers fragrances, sarees, and accessories. It offers its products through retail stores, as well as online. As of March 31, 2018, it operated 1,480 stores with approximately 1.9 million square feet of retail space. The company was formerly known as Titan Industries Limited and changed its name to Titan Company Limited in August 2013. Titan Company Limited was founded in 1984 and is based in Bengaluru, India.

Details
Name: Titan Company Limited
TITAN
Exchange: NSEI
Founded: 1984
₹917,305,049,820
887,786,160
Website: http://www.titan.co.in
Address: Titan Company Limited
Integrity No. 193,
Veerasandra,
Bengaluru,
Karnataka, 560100,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 500114 Equity Shares Mumbai Stock Exchange IN INR 22. Nov 1999
NSEI TITAN Equity Shares National Stock Exchange of India IN INR 22. Nov 1999
Number of employees
Current staff
Staff numbers
0
Titan employees.
Industry
Apparel, Accessories and Luxury Goods
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/21 12:51
End of day share price update: 2019/02/20 00:00
Last estimates confirmation: 2019/02/18
Last earnings filing: 2019/02/01
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.