Titan Company shares declined more than 4 percent in early trade on October 7 after the companys second quarter jewellery business update fell short of some brokerage expectations. The stock was trading around Rs 4,350, making it one of the biggest losers on the Nifty 50, even as brokerages continued to maintain positive views on the company.

Titans consumer businesses recorded 25 percent year on year growth in Q2 FY27, while the domestic business grew 22 percent. The jewellery business grew around 21 percent during the quarter. Titan said consumer demand remained healthy for most of the quarter, although demand moderated towards the end as the festive calendar shifted more of the consumption into the third quarter.

The jewellery business was also affected by a decline in investment-led gold coin demand from a high base. Jewellery buyer growth remained in the mid-single digits, while average ticket sizes increased at a double-digit pace.

Studded jewellery was a key positive, growing in the early thirties, compared with around 20 percent growth in plain gold jewellery. CaratLane recorded 32 percent growth during the quarter.

The quarterly performance was viewed differently by brokerages. CLSA noted that domestic jewellery growth of 21 percent was ahead of its consensus estimate of 19.3 percent and retained an Outperform rating with a target price of Rs 5,590. JPMorgan, however, had expected 25 percent growth and retained its Overweight rating while reducing its target price to Rs 5,540 from Rs 5,650.

Citi maintained its Buy rating with a target price of Rs 5,700. The brokerage highlighted resilient underlying jewellery demand after excluding coin sales and pointed to the stronger growth in studded jewellery as a potential positive for margins. Morgan Stanley also retained its Overweight rating with a target price of Rs 5,483, while seeking greater clarity on the impact of the shift in festive demand.

The near term stock reaction therefore reflects concerns around the timing of festive demand and the pace of buyer growth rather than a broad deterioration in Titans underlying business performance. Investors are likely to focus on festive season demand, gold price trends, buyer additions, product mix and margin performance when the company reports its quarterly financial results.

Titan also added 78 net stores during the quarter, taking its total consumer store network to 3,758 as of September 2026. The jewellery business added 42 net stores, taking its jewellery store count to 1,269, while the companys international business recorded 97 percent year on year growth.