3 Listed Firms In Top 100 Luxury Brands List; Rakesh Jhunjhunwala Owns One

Rakesh Jhunjhunwala Tips & Portfolio

Rakesh Jhunjhunwala owns over 8 % stock in Titan. Main part of his portfolio is invested in the company, which is considered his favored stock.

Consulting company Deloitte blanketed 3 listed Indian corporations and unlisted in its latest report on luxury brands. The file named "Global Powers of Luxury Goods 2018" counted Titan agency (ranked 28th), Kalyan Jewellers India (37th), computer Jeweller (43th), Joyalukkas India (49th), and Tribhovandas Bhimji Zaveri (89th) among one hundred biggest luxury goods agencies within the world.

Amongst these five, Titan, pc Jeweller and Tribhovandas Bhimji Zaveri are indexed on BSE and NSE, and feature given mixed returns inside the last one year.

Titan is up 92 % to Rs 917, PC Jeweller is down 10 % to Rs 198.65, while TBZ gained simply 9 % to Rs 95 in the last year.

Ace investor Rakesh Jhunjhunwala owns over 8 % stake in Titan. Principal part of his portfolio is invested within the corporation, that is considered his favourite stock.

In the March area, the Tata institution company said 70.86 per cent jump in consolidated net earnings at Rs 304.41 crore. Brokerage Edelweiss Securities has a buy rating at the inventory with a goal rate of Rs 1,160. "We envisage Titan to extend its growth run led by share gains, entry in new segments and retail expansion. Moreover, rising share of studded jewellery, cost optimisation and operating leverage are likely to aid margin. At 55x FY20E EPS, we arrive at TP of Rs 1,160. Maintain BUY/SO. At CMP, the stock is trading at 46.7x FY20E EPS," Edelweiss said in a results review report.

PC Jeweller share price, meanwhile, witnessed a roller-coaster trip on Dalal road as rumours of promoters selling their stake within the company surfaced. The company is scheduled to file its March quarter numbers on Friday. The stock received 10 % to hit its intraday high of Rs 210 in today's exchange.

Within the March quarter, TBZ said 9.6 in step with cent SSG and Rs 7.04 crore PAT led via almost 10 per cent extent increase and stepped forward footfall in wedding season. TBZ management made a forecast of opening 15 store in FY19 which includes 10 owned stores, indicating reasonable level of success with final 4 year stores in Malls.

"Although the move is positive, we remain cautious as target of adding 30 stores in next two years (base of 37 stores) need support from good demand scenario. TBZ is back on the dividend list (7.5%) after a gap of 2 years, which shows management confidence in growth and sustaining cash flows.

Balance sheet remains healthy with flat inventories and just 4 per cent increase in debt. We estimate 37 per cent PAT CAGR over FY18-20 and value the stock at 20xFY20 EPS of Rs 6, thus assigning target price of Rs 120. Retain Accumulate," said Prabhudas Lilladher in a research report.

Meanwhile, commenting on the Indian luxurious items region a Deloitte India spokesperson said: "India is currently undergoing a rapid digital transformation, whilst battling the challenges of high import duties, introduction of GST and unstable price parity. However, with a positive economic outlook, the demand for luxury goods segment is poised to rise in 2018."

As consistent with the Deloitte Report, the worlds top 100 biggest luxurious items agencies generated income of $217 billion in financial year 2016 and the common luxury goods annual sales for top 100 companies is now $2.2 billion.

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