Global brokerage firm Citi has maintained a ‘Buy’ rating on Kalyan Jewellers India, with a price target of ₹650 per share.
The brokerage firm wrote in its note that Kalyan Jewellers continues to witness strong overall demand trends and is planning to open 90 new stores in FY26.
The studded jewellery mix is expected to remain stable, while Candere, the company’s online arm, may break even or turn marginally profitable in the same fiscal year.
Further, Citi mentioned noted that there is no substantial price-based competition in the market, and despite a sharp rise in gold prices, the average ticket size has increased by less than 10%.
Most of the same-store sales growth is being driven by an expanding customer base, and the company is targeting repayment of ₹350 crore in debt in FY26.
Kalyan Jewellers recently reported its March quarter earnings, showing a year-on-year jump in both topline and bottomline. The company posted a 36.5% YoY rise in net profit at ₹187.6 crore.
The Kerala-based jewelry maker reported a 36.6% YoY increase in revenue at ₹6,181.5 crore.
For the quarter, Kalyan Jewellers’ Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) registered an increase of 34.8% at ₹399 crore. The margin saw a 10 basis points YoY decline at 6.5% from 6.6% last year.
Kalyan Jewellers also recommended a final dividend of ₹1.50 per equity share for the financial year 2025.
Shares of Kalyan Jewellers India Ltd. are currently trading 1.07% lower on Thursday at ₹514.35. The stock has corrected 35% from its peak of ₹795.40, which it hit on January 2 this year. On a year-to-date basis, the stock is down 34%.
