Linkedin | Sumit Bhootra | BSE: 500114 | NSE: TITAN

FINANCIAL
MODELING
Report
( A Comprehensive DCF and Comparable Comps Valuation)
 Table of
CONTENTS
01 Historical Statement

02 Common Size Statement

03 Ratio Analysis

04 Forecasting

05 Beta Drifting

06 WACC

07 DCF Valuation

08 Comparable Comps
Valuation

09 VAR & Simulation

10 Dupont Analysis
11 Altman Z Score
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Historical Financial Statement-TITAN COMPANY LTD
Years Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Income Statement
Sales ₹ 11,913.4 ₹ 11,275.9 ₹ 13,260.8 ₹ 16,119.8 ₹ 19,778.5 ₹ 21,052.0 ₹ 21,644.0 ₹ 28,799.0 ₹ 40,575.0 ₹ 51,084.0
Sales Growth - -5.35% 17.60% 21.56% 22.70% 6.44% 2.81% 33.06% 40.89% 25.90%

COGS ₹ 9,615.3 ₹ 9,183.3 ₹ 10,606.0 ₹ 12,762.6 ₹ 15,660.5 ₹ 16,626.0 ₹ 17,661.0 ₹ 23,225.0 ₹ 32,295.0 ₹ 41,664.0
COGS % Sales 80.71% 81.44% 79.98% 79.17% 79.18% 78.98% 81.60% 80.65% 79.59% 81.56%

Gross Profit ₹ 2,298.1 ₹ 2,092.6 ₹ 2,654.8 ₹ 3,357.1 ₹ 4,118.0 ₹ 4,426.0 ₹ 3,983.0 ₹ 5,574.0 ₹ 8,280.0 ₹ 9,420.0
Gross Margin 19.29% 18.56% 20.02% 20.83% 20.82% 21.02% 18.40% 19.35% 20.41% 18.44%

Selling & General Expenses ₹ 1,145.5 ₹ 1,153.2 ₹ 1,490.9 ₹ 1,712.9 ₹ 2,124.3 ₹ 1,963.0 ₹ 2,258.0 ₹ 2,230.0 ₹ 3,398.0 ₹ 4,128.0
S&G Exp % Sales 9.62% 10.23% 11.24% 10.63% 10.74% 9.32% 10.43% 7.74% 8.37% 8.08%

EBITDA ₹ 1,152.6 ₹ 939.3 ₹ 1,163.9 ₹ 1,644.2 ₹ 1,993.8 ₹ 2,463.0 ₹ 1,725.0 ₹ 3,344.0 ₹ 4,882.0 ₹ 5,292.0
EBITDA Margins 9.67% 8.33% 8.78% 10.20% 10.08% 11.70% 7.97% 11.61% 12.03% 10.36%

Interest ₹ 80.7 ₹ 42.4 ₹ 37.7 ₹ 52.9 ₹ 52.5 ₹ 166.0 ₹ 203.0 ₹ 218.0 ₹ 300.0 ₹ 619.0
Interest % Sales 0.68% 0.38% 0.28% 0.33% 0.27% 0.79% 0.94% 0.76% 0.74% 1.21%

Depreciation ₹ 89.6 ₹ 98.2 ₹ 110.5 ₹ 131.4 ₹ 162.8 ₹ 348.0 ₹ 375.0 ₹ 399.0 ₹ 441.0 ₹ 584.0
Depreciation % Sales 0.75% 0.87% 0.83% 0.82% 0.82% 1.65% 1.73% 1.39% 1.09% 1.14%

EBT ₹ 982.3 ₹ 798.8 ₹ 1,015.6 ₹ 1,459.9 ₹ 1,778.4 ₹ 1,949.0 ₹ 1,147.0 ₹ 2,727.0 ₹ 4,141.0 ₹ 4,089.0
EBT % Sales 8.25% 7.08% 7.66% 9.06% 8.99% 9.26% 5.30% 9.47% 10.21% 8.00%

Tax ₹ 232.6 ₹ 191.6 ₹ 276.0 ₹ 427.9 ₹ 568.2 ₹ 609.0 ₹ 353.0 ₹ 706.0 ₹ 1,173.0 ₹ 1,127.0
Effective Tax Rate 23.68% 23.99% 27.17% 29.31% 31.95% 31.25% 30.78% 25.89% 28.33% 27.56%

Net Profit ₹ 749.7 ₹ 607.2 ₹ 739.7 ₹ 1,032.0 ₹ 1,210.2 ₹ 1,340.0 ₹ 794.0 ₹ 2,021.0 ₹ 2,968.0 ₹ 2,962.0
Net Margins 6.29% 5.38% 5.58% 6.40% 6.12% 6.37% 3.67% 7.02% 7.31% 5.80%

No. of Equity Shares ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8

EPS ₹ 8.4 ₹ 6.8 ₹ 8.3 ₹ 11.6 ₹ 13.6 ₹ 15.1 ₹ 8.9 ₹ 22.8 ₹ 33.4 ₹ 33.4
EPS Growth -19.01% 21.82% 39.52% 17.27% 10.73% -40.75% 154.53% 46.86% -0.20%

Dividend per Share ₹ 2.3 ₹ 2.2 ₹ 2.6 ₹ 3.7 ₹ 5.0 ₹ 4.0 ₹ 4.0 ₹ 7.5 ₹ 10.0 ₹ 11.0
Dividend Payout Ratio 27.24% 32.17% 31.21% 32.26% 36.68% 26.57% 44.84% 33.03% 29.99% 33.05%

Retained Earnings 72.76% 67.83% 68.79% 67.74% 63.32% 73.43% 55.16% 66.97% 70.01% 66.95%

Balance Sheet
Equity Share Capital ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 88.8 ₹ 89.0 ₹ 89.0 ₹ 89.0 ₹ 89.0 ₹ 89.0
Reserves ₹ 2,995.1 ₹ 3,417.5 ₹ 4,143.6 ₹ 5,001.1 ₹ 5,981.4 ₹ 6,580.0 ₹ 7,408.0 ₹ 9,214.0 ₹ 11,762.0 ₹ 9,304.0
Borrowings ₹ 99.8 ₹ 113.1 ₹ 1,882.4 ₹ 1,691.0 ₹ 2,393.0 ₹ 3,562.0 ₹ 5,638.0 ₹ 7,275.0 ₹ 9,367.0 ₹ 15,528.0
Other Liabilities ₹ 2,684.3 ₹ 2,722.6 ₹ 2,292.8 ₹ 2,740.2 ₹ 3,246.7 ₹ 3,313.0 ₹ 3,309.0 ₹ 4,610.0 ₹ 5,802.0 ₹ 6,626.0
Total Liabilities ₹ 5,868.0 ₹ 6,341.9 ₹ 8,407.6 ₹ 9,521.0 ₹ 11,709.8 ₹ 13,544.0 ₹ 16,444.0 ₹ 21,188.0 ₹ 27,020.0 ₹ 31,547.0

Fixed Assets Net Block ₹ 699.1 ₹ 770.5 ₹ 1,188.7 ₹ 1,473.8 ₹ 1,566.6 ₹ 2,633.0 ₹ 2,523.0 ₹ 2,544.0 ₹ 2,998.0 ₹ 3,709.0
Capital Work in Progress ₹ 55.2 ₹ 106.7 ₹ 152.1 ₹ 43.4 ₹ 31.8 ₹ 18.0 ₹ 32.0 ₹ 85.0 ₹ 144.0 ₹ 97.0
Investments ₹ 3.1 ₹ 30.4 ₹ 430.7 ₹ 36.0 ₹ 108.4 ₹ 158.0 ₹ 2,824.0 ₹ 294.0 ₹ 2,515.0 ₹ 2,345.0
Other Assets ₹ 657.7 ₹ 678.3 ₹ 723.8 ₹ 1,129.4 ₹ 1,477.3 ₹ 1,939.0 ₹ 1,731.0 ₹ 2,518.0 ₹ 2,762.0 ₹ 3,801.0
Total Non Current Assets ₹ 1,415.1 ₹ 1,585.9 ₹ 2,495.3 ₹ 2,682.6 ₹ 3,184.1 ₹ 4,748.0 ₹ 7,110.0 ₹ 5,441.0 ₹ 8,419.0 ₹ 9,952.0

Receivables ₹ 189.7 ₹ 192.5 ₹ 207.6 ₹ 295.7 ₹ 420.5 ₹ 312.0 ₹ 366.0 ₹ 565.0 ₹ 674.0 ₹ 1,018.0
Inventory ₹ 4,049.3 ₹ 4,447.2 ₹ 4,925.7 ₹ 5,924.8 ₹ 7,038.8 ₹ 8,103.0 ₹ 8,408.0 ₹ 13,609.0 ₹ 16,584.0 ₹ 19,051.0
Cash & Bank ₹ 213.8 ₹ 116.4 ₹ 778.9 ₹ 617.9 ₹ 1,066.5 ₹ 381.0 ₹ 560.0 ₹ 1,573.0 ₹ 1,343.0 ₹ 1,526.0
Total Current Assets ₹ 4,452.8 ₹ 4,756.0 ₹ 5,912.3 ₹ 6,838.4 ₹ 8,525.8 ₹ 8,796.0 ₹ 9,334.0 ₹ 15,747.0 ₹ 18,601.0 ₹ 21,595.0

Total Assets ₹ 5,868.0 ₹ 6,341.9 ₹ 8,407.6 ₹ 9,521.0 ₹ 11,709.8 ₹ 13,544.0 ₹ 16,444.0 ₹ 21,188.0 ₹ 27,020.0 ₹ 31,547.0

Check TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE
Cash Flow Statements
Operating Activities
Profit from operations ₹ 1,163.0 ₹ 942.0 ₹ 1,073.0 ₹ 1,642.0 ₹ 2,183.0 ₹ 2,481.0 ₹ 1,789.0 ₹ 3,298.0 ₹ 4,937.0 ₹ 5,404.0
Receivables (₹ 39.0) - (₹ 12.0) (₹ 90.0) (₹ 139.0) ₹ 109.0 (₹ 59.0) (₹ 207.0) (₹ 112.0) (₹ 348.0)
Inventory (₹ 180.0) (₹ 398.0) (₹ 448.0) (₹ 996.0) (₹ 1,120.0) (₹ 1,057.0) (₹ 316.0) (₹ 5,199.0) (₹ 2,977.0) (₹ 2,462.0)
Payables ₹ 1,079.0 (₹ 245.0) ₹ 238.0 ₹ 95.0 ₹ 32.0 (₹ 310.0) ₹ 195.0 ₹ 504.0 (₹ 89.0) ₹ 196.0
Loans Advances (₹ 71.0) (₹ 66.0) - ₹ 3.0 (₹ 24.0) (₹ 20.0) (₹ 8.0) (₹ 3.0) (₹ 18.0) (₹ 21.0)
Operating borrowings - - ₹ 763.0 (₹ 270.0) ₹ 741.0 (₹ 768.0) ₹ 2,625.0 ₹ 1,188.0 (₹ 99.0) ₹ 42.0
Other WC items (₹ 1,204.0) ₹ 545.0 ₹ 375.0 ₹ 22.0 ₹ 206.0 (₹ 226.0) ₹ 184.0 ₹ 497.0 ₹ 882.0 ₹ 57.0
Working capital changes (₹ 415.0) (₹ 163.0) ₹ 916.0 (₹ 1,237.0) (₹ 304.0) (₹ 2,272.0) ₹ 2,621.0 (₹ 3,220.0) (₹ 2,413.0) (₹ 2,536.0)
Direct taxes (₹ 245.0) (₹ 202.0) (₹ 277.0) (₹ 456.0) (₹ 636.0) (₹ 557.0) (₹ 271.0) (₹ 802.0) (₹ 1,154.0) (₹ 1,173.0)
Cash from Operating Activities ₹ 88.0 ₹ 413.0 ₹ 2,628.0 (₹ 1,287.0) ₹ 939.0 (₹ 2,620.0) ₹ 6,760.0 (₹ 3,944.0) (₹ 1,043.0) (₹ 841.0)

Investing Activities
Fixed assets purchased (₹ 209.0) (₹ 254.0) (₹ 256.0) (₹ 305.0) (₹ 265.0) (₹ 355.0) (₹ 146.0) (₹ 224.0) (₹ 432.0) (₹ 691.0)
Fixed assets sold ₹ 2.0 ₹ 2.0 ₹ 5.0 ₹ 6.0 ₹ 1.0 ₹ 10.0 ₹ 7.0 ₹ 8.0 ₹ 12.0 ₹ 20.0
Investments purchased (₹ 135.0) (₹ 1,078.0) (₹ 325.0) - (₹ 36.0) (₹ 13.0) (₹ 2,656.0) (₹ 253.0) (₹ 2,104.0) (₹ 423.0)
Investments sold ₹ 135.0 ₹ 1,083.0 - ₹ 412.0 ₹ 18.0 - ₹ 43.0 ₹ 2,870.0 - ₹ 743.0
Interest received ₹ 77.0 ₹ 58.0 ₹ 41.0 ₹ 64.0 ₹ 85.0 ₹ 73.0 ₹ 49.0 ₹ 56.0 ₹ 143.0 ₹ 249.0
Invest in subsidiaries - - - - - (₹ 39.0) - - - -
Investment in group cos - (₹ 18.0) - - - - - - - -
Acquisition of companies - - (₹ 385.0) - - - - - - -
Inter corporate deposits (₹ 48.0) ₹ 38.0 ₹ 5.0 (₹ 35.0) (₹ 115.0) ₹ 200.0 (₹ 50.0) (₹ 344.0) ₹ 294.0 (₹ 143.0)
Other investing items ₹ 60.0 ₹ 10.0 (₹ 38.0) (₹ 43.0) (₹ 485.0) ₹ 359.0 (₹ 46.0) (₹ 948.0) ₹ 273.0 ₹ 56.0
Cash from Investing Activities (₹ 118.0) (₹ 159.0) (₹ 953.0) ₹ 99.0 (₹ 797.0) ₹ 235.0 (₹ 2,799.0) ₹ 1,165.0 (₹ 1,814.0) (₹ 189.0)

Financing Activities
Proceeds from borrowings - - - - - ₹ 693.0 - ₹ 349.0 ₹ 1,684.0 ₹ 5,629.0
Repayment of borrowings - - - - (₹ 39.0) - (₹ 562.0) (₹ 7.0) (₹ 7.0) -
Interest paid fin (₹ 81.0) (₹ 42.0) (₹ 38.0) (₹ 54.0) (₹ 53.0) (₹ 399.0) (₹ 317.0) (₹ 218.0) (₹ 300.0) (₹ 619.0)
Dividends paid (₹ 185.0) (₹ 394.0) (₹ 4.0) (₹ 277.0) (₹ 397.0) (₹ 536.0) (₹ 355.0) (₹ 355.0) (₹ 666.0) (₹ 888.0)
Financial liabilities - - - - - - - (₹ 172.0) (₹ 254.0) (₹ 318.0)
Other financing items (₹ 739.0) (₹ 68.0) (₹ 124.0) ₹ 79.0 - - - - - (₹ 5,133.0)
Cash from Financing Activities (₹ 1,005.0) (₹ 504.0) (₹ 166.0) (₹ 252.0) (₹ 489.0) (₹ 242.0) (₹ 1,234.0) (₹ 403.0) ₹ 457.0 (₹ 1,329.0)

Net Cash Flow (₹ 1,035.0) (₹ 250.0) ₹ 1,509.0 (₹ 1,440.0) (₹ 347.0) (₹ 2,627.0) ₹ 2,727.0 (₹ 3,182.0) (₹ 2,400.0) (₹ 2,359.0)
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Common Size Income Statement - TITAN COMPANY LTD

Particulars Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Sales 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Raw Material Cost 75.17% 74.25% 74.06% 78.57% 76.70% 76.16% 75.27% 91.79% 80.32% 82.42%
Change in Inventory 1.72% 1.70% 2.37% 6.07% 3.93% 4.17% -0.56% 16.65% 5.51% 5.23%
Power and Fuel 0.34% 0.37% 0.33% 0.28% 0.25% 0.25% 0.17% 0.16% 0.15% 0.14%
Other Mfr. Exp 1.57% 2.32% 1.21% 0.77% 0.98% 1.02% 0.65% 0.64% 0.55% 0.56%
Employee Cost 5.34% 6.21% 6.74% 5.62% 5.18% 5.72% 4.94% 4.71% 4.08% 3.67%
Selling and admin 7.00% 7.51% 9.13% 7.93% 7.35% 6.98% 4.75% 5.89% 6.69% 6.36%
Other Expenses 2.62% 2.72% 2.11% 2.70% 3.39% 2.34% 5.68% 1.85% 1.68% 1.72%
Other Income 0.56% 0.61% -0.32% 0.43% 0.90% 0.73% 0.83% 0.61% 0.75% 1.05%
Depreciation 0.75% 0.87% 0.83% 0.82% 0.82% 1.65% 1.73% 1.39% 1.09% 1.14%
Interest 0.68% 0.38% 0.28% 0.33% 0.27% 0.79% 0.94% 0.76% 0.74% 1.21%
Profit before tax 8.80% 7.70% 7.34% 9.49% 9.89% 9.98% 6.13% 10.08% 10.96% 9.05%
Tax 1.95% 1.70% 2.08% 2.65% 2.87% 2.89% 1.63% 2.45% 2.89% 2.21%
Net profit 6.85% 5.98% 5.37% 7.01% 7.10% 7.13% 4.50% 7.55% 8.01% 6.84%
Dividend Amount 1.71% 1.73% 1.74% 2.07% 2.24% 1.69% 1.64% 2.32% 2.19% 1.92%
EBITDA 10.23% 8.93% 8.56% 10.81% 11.06% 12.46% 8.80% 12.14% 12.73% 11.40%

Common Size Balance Sheet - TITAN COMPANY LTD

Particulars Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Total Liabilities 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Equity Share Capital 1.51% 1.40% 1.06% 0.93% 0.76% 0.66% 0.54% 0.42% 0.33% 0.28%
Reserves 51.04% 53.89% 49.28% 52.53% 51.08% 48.58% 45.05% 43.49% 43.53% 29.49%
Borrowings 1.70% 1.78% 22.39% 17.76% 20.44% 26.30% 34.29% 34.34% 34.67% 49.22%
Other Liabilities 45.75% 42.93% 27.27% 28.78% 27.73% 24.46% 20.12% 21.76% 21.47% 21.00%

Total Assets 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Net Block 11.91% 12.15% 14.14% 15.48% 13.38% 19.44% 15.34% 12.01% 11.10% 11.76%
Capital Work in Progress 0.94% 1.68% 1.81% 0.46% 0.27% 0.13% 0.19% 0.40% 0.53% 0.31%
Investments 0.05% 0.48% 5.12% 0.38% 0.93% 1.17% 17.17% 1.39% 9.31% 7.43%
Other Assets 11.21% 10.69% 8.61% 11.86% 12.62% 14.32% 10.53% 11.88% 10.22% 12.05%
Receivables 3.23% 3.04% 2.47% 3.11% 3.59% 2.30% 2.23% 2.67% 2.49% 3.23%
Inventory 69.01% 70.12% 58.59% 62.23% 60.11% 59.83% 51.13% 64.23% 61.38% 60.39%
Cash & Bank 3.64% 1.83% 9.26% 6.49% 9.11% 2.81% 3.41% 7.42% 4.97% 4.84%
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Ratio Analysis - TITAN COMPANY LTD
Years Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Trend Mean Median

Sales Growth -5.35% 17.60% 21.56% 22.70% 6.44% 2.81% 33.06% 40.89% 25.90% 18.40% 21.56%
EBITDA Growth -18.50% 23.91% 41.27% 21.26% 23.53% -29.96% 93.86% 45.99% 8.40% 23.31% 23.53%
EBT Growth -18.68% 27.15% 43.74% 21.82% 9.59% -41.15% 137.75% 51.85% -1.26% 25.65% 21.82%
Net Profit Growth -19.01% 21.82% 39.52% 17.27% 10.73% -40.75% 154.53% 46.86% -0.20% 25.64% 17.27%
Dividend Growth -4.34% 18.18% 44.23% 33.34% -19.80% 0.00% 87.50% 33.33% 10.00% 22.49% 18.18%

Gross Margin 19.29% 18.56% 20.02% 20.83% 20.82% 21.02% 18.40% 19.35% 20.41% 18.44% 19.71% 19.69%
EBITDA Margin 9.67% 8.33% 8.78% 10.20% 10.08% 11.70% 7.97% 11.61% 12.03% 10.36% 10.07% 10.14%
EBIT Margin 8.92% 7.46% 7.94% 9.38% 9.26% 10.05% 6.24% 10.23% 10.95% 9.22% 8.96% 9.24%
EBT Margin 8.25% 7.08% 7.66% 9.06% 8.99% 9.26% 5.30% 9.47% 10.21% 8.00% 8.33% 8.62%
Net Profit Margin 6.29% 5.38% 5.58% 6.40% 6.12% 6.37% 3.67% 7.02% 7.31% 5.80% 5.99% 6.21%

SalesExpense%Sales 9.62% 10.23% 11.24% 10.63% 10.74% 9.32% 10.43% 7.74% 8.37% 8.08% 9.64% 9.92%
Depreciation%Sales 0.75% 0.87% 0.83% 0.82% 0.82% 1.65% 1.73% 1.39% 1.09% 1.14% 1.11% 0.98%
OperatingIncome%Sales 8.92% 7.46% 7.94% 9.38% 9.26% 10.05% 6.24% 10.23% 10.95% 9.22% 8.96% 9.24%

Return on Capital Employed 33.39% 23.24% 17.23% 22.31% 21.63% 20.67% 10.28% 17.76% 20.93% 18.89% 20.63% 20.80%
Retained Earnings% 72.76% 67.83% 68.79% 67.74% 63.32% 73.43% 55.16% 66.97% 70.01% 66.95% 67.30% 67.79%
Return on Equity 24.31% 17.32% 17.48% 20.28% 19.94% 20.09% 10.59% 21.72% 25.04% 31.53% 20.83% 20.18%
Self Sustained Growth Rate 17.69% 11.75% 12.02% 13.73% 12.62% 14.75% 5.84% 14.55% 17.53% 21.11% 14.16% 14.14%
Interest Coverage Ratio 13.17x 19.86x 27.91x 28.59x 34.85x 12.74x 6.65x 13.51x 14.80x 7.61x 17.97x 14.16x

Debtor Turnover Ratio 62.79x 58.58x 63.88x 54.52x 47.04x 67.47x 59.14x 50.97x 60.20x 50.18x 57.48x 58.86x
Creditor Turnover Ratio 3.58x 3.37x 4.63x 4.66x 4.82x 5.02x 5.34x 5.04x 5.57x 6.29x 4.83x 4.92x
Inventory Turnover Ratio 2.37x 2.06x 2.15x 2.15x 2.22x 2.05x 2.10x 1.71x 1.95x 2.19x 2.10x 2.13x
Fixed Asset Turnover Ratio 17.04x 14.63x 11.16x 10.94x 12.62x 8.00x 8.58x 11.32x 13.53x 13.77x 12.16x 11.97x
Capital Turnover Ratio 3.86x 3.22x 3.13x 3.17x 3.26x 3.16x 2.89x 3.10x 3.42x 5.44x 3.46x 3.19x

Debtor Days 6 days 6 days 6 days 7 days 8 days 5 days 6 days 7 days 6 days 7 days 6 days 6 days
Payable Days 102 days 108 days 79 days 78 days 76 days 73 days 68 days 72 days 66 days 58 days 78 days 74 days
Inventory Days 154 days 177 days 170 days 169 days 164 days 178 days 174 days 214 days 187 days 167 days 175 days 172 days
Cash Conversion Cycle 58 days 75 days 96 days 98 days 96 days 111 days 112 days 149 days 128 days 116 days 104 days 104 days

CFO/Sales 0.74% 3.66% 19.82% -7.98% 4.75% -12.45% 31.23% -13.69% -2.57% -1.65% 2.19% -0.45%
CFO/Total Assets 1.50% 6.51% 31.26% -13.52% 8.02% -19.34% 41.11% -18.61% -3.86% -2.67% 3.04% -0.58%
CFO/Total Debt 88.19% 365.33% 139.61% -76.11% 39.24% -73.55% 119.90% -54.21% -11.13% -5.42% 53.18% 16.91%
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
TITAN COMPANY LTD - Sales Forecasting TITAN COMPANY LTD - EBITDA Forecasting
Year Weight Year Sales Sales Growth Year Weight Year EBITDA EBITDA Growth
1 2015A 11,913.4 1 2015A 1,152.6
2 2016A 11,275.9 -5.35% 2 2016A 939.3 -18.50%
3 2017A 13,260.8 17.60% 3 2017A 1,163.9 23.91%
4 2018A 16,119.8 21.56% 4 2018A 1,644.2 41.27%
5 2019A 19,778.5 22.70% 5 2019A 1,993.8 21.26%
6 2020A 21,052.0 6.44% 6 2020A 2,463.0 23.53%
7 2021A 21,644.0 2.81% 7 2021A 1,725.0 -29.96%
8 2022A 28,799.0 33.06% 8 2022A 3,344.0 93.86%
9 2023A 40,575.0 40.89% 9 2023A 4,882.0 45.99%
10 2024A 51,084.0 25.90% 10 2024A 5,292.0 8.40%
11 2025E 45,322.4 -11.28% 11 2025E 5,008.8 -5.35%
12 2026E 49,281.0 8.73% 12 2026E 5,472.3 9.25%
13 2027E 53,239.6 8.03% 13 2027E 5,935.7 8.47%
14 2028E 57,198.2 7.44% 14 2028E 6,399.1 7.81%
15 2029E 61,156.8 6.92% 15 2029E 6,862.5 7.24%

TITAN COMPANY LTD - EBT Forecasting TITAN COMPANY LTD - EPS Forecasting
Year Weight Year EBT EBT Growth Year Weight Year EPS EPS Growth
1 2015A 982.3 1 2015A 8.4
2 2016A 798.8 -18.68% 2 2016A 6.8 -19.01%
3 2017A 1,015.6 27.15% 3 2017A 8.3 21.82%
4 2018A 1,459.9 43.74% 4 2018A 11.6 39.52%
5 2019A 1,778.4 21.82% 5 2019A 13.6 17.27%
6 2020A 1,949.0 9.59% 6 2020A 15.1 10.73%
7 2021A 1,147.0 -41.15% 7 2021A 8.9 -40.75%
8 2022A 2,727.0 137.75% 8 2022A 22.8 154.53%
9 2023A 4,141.0 51.85% 9 2023A 33.4 46.86%
10 2024A 4,089.0 -1.26% 10 2024A 33.4 -0.20%
11 2025E 3,980.3 -2.66% 11 2025E 32.1 -3.75%
12 2026E 4,338.7 9.01% 12 2026E 35.0 8.98%
13 2027E 4,697.2 8.26% 13 2027E 37.9 8.24%
14 2028E 5,055.6 7.63% 14 2028E 40.8 7.62%
15 2029E 5,414.1 7.09% 15 2029E 43.7 7.08%
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Beta Regression
Regression Beta - 2 Years Weekly

Titan Weekly Returns Nifty Weekly returns Beta Drifting

Date Closing Price Return Date Closing Price Return Levered Raw Beta 0.91
30-Oct-22 2,769.7 30-Oct-22 18,117.2 Beta Weight 0.75
06-Nov-22 2,651.8 -4.26% 06-Nov-22 18,349.7 1.28%
13-Nov-22 2,565.8 -3.24% 13-Nov-22 18,307.7 -0.23% Market Beta 1
20-Nov-22 2,595.4 1.15% 20-Nov-22 18,512.8 1.12% Market Beta Weight 25.00%
27-Nov-22 2,617.9 0.87% 27-Nov-22 18,696.1 0.99%
04-Dec-22 2,615.5 -0.09% 04-Dec-22 18,496.6 -1.07% Adjusted Beta 0.93
11-Dec-22 2,482.9 -5.07% 11-Dec-22 18,269.0 -1.23%
18-Dec-22 2,483.1 0.01% 18-Dec-22 17,806.8 -2.53%
25-Dec-22 2,597.5 4.61% 25-Dec-22 18,105.3 1.68%
01-Jan-23 2,538.1 -2.29% 01-Jan-23 17,859.5 -1.36%
08-Jan-23 2,417.2 -4.76% 08-Jan-23 17,956.6 0.54%
15-Jan-23 2,371.3 -1.90% 15-Jan-23 18,027.7 0.40%
22-Jan-23 2,331.3 -1.69% 22-Jan-23 17,604.4 -2.35%
29-Jan-23 2,463.1 5.66% 29-Jan-23 17,854.1 1.42%
05-Feb-23 2,468.5 0.22% 05-Feb-23 17,856.5 0.01%
12-Feb-23 2,500.3 1.29% 12-Feb-23 17,944.2 0.49%
19-Feb-23 2,399.1 -4.05% 19-Feb-23 17,465.8 -2.67%
26-Feb-23 2,396.1 -0.13% 26-Feb-23 17,594.4 0.74%
05-Mar-23 2,375.5 -0.86% 05-Mar-23 17,412.9 -1.03%
12-Mar-23 2,455.7 3.37% 12-Mar-23 17,100.1 -1.80%
19-Mar-23 2,493.4 1.54% 19-Mar-23 16,945.1 -0.91%
26-Mar-23 2,514.9 0.86% 26-Mar-23 17,359.8 2.45%
02-Apr-23 2,548.5 1.33% 02-Apr-23 17,599.2 1.38%
09-Apr-23 2,585.7 1.46% 09-Apr-23 17,828.0 1.30%
16-Apr-23 2,568.3 -0.67% 16-Apr-23 17,624.1 -1.14%
23-Apr-23 2,641.9 2.86% 23-Apr-23 18,065.0 2.50%
30-Apr-23 2,732.9 3.45% 30-Apr-23 18,069.0 0.02%
07-May-23 2,773.2 1.47% 07-May-23 18,314.8 1.36%
14-May-23 2,701.7 -2.58% 14-May-23 18,203.4 -0.61%
21-May-23 2,742.2 1.50% 21-May-23 18,499.4 1.63%
28-May-23 2,861.7 4.36% 28-May-23 18,534.1 0.19%
04-Jun-23 2,876.3 0.51% 04-Jun-23 18,563.4 0.16%
11-Jun-23 2,954.3 2.71% 11-Jun-23 18,826.0 1.41%
18-Jun-23 2,939.2 -0.51% 18-Jun-23 18,665.5 -0.85%
25-Jun-23 3,047.7 3.69% 25-Jun-23 19,189.1 2.80%
02-Jul-23 3,144.0 3.16% 02-Jul-23 19,331.8 0.74%
09-Jul-23 3,055.6 -2.81% 09-Jul-23 19,564.5 1.20%
16-Jul-23 2,976.3 -2.59% 16-Jul-23 19,745.0 0.92%
23-Jul-23 2,987.0 0.36% 23-Jul-23 19,646.1 -0.50%
30-Jul-23 2,904.4 -2.77% 30-Jul-23 19,517.0 -0.66%
06-Aug-23 3,017.3 3.89% 06-Aug-23 19,428.3 -0.45%
13-Aug-23 3,050.5 1.10% 13-Aug-23 19,310.2 -0.61%
20-Aug-23 3,067.2 0.55% 20-Aug-23 19,265.8 -0.23%
27-Aug-23 3,116.8 1.62% 27-Aug-23 19,435.3 0.88%
03-Sep-23 3,199.1 2.64% 03-Sep-23 19,820.0 1.98%
10-Sep-23 3,248.6 1.55% 10-Sep-23 20,192.4 1.88%
17-Sep-23 3,274.5 0.80% 17-Sep-23 19,674.3 -2.57%
24-Sep-23 3,148.8 -3.84% 24-Sep-23 19,638.3 -0.18%
01-Oct-23 3,309.8 5.11% 01-Oct-23 19,653.5 0.08%
08-Oct-23 3,283.8 -0.79% 08-Oct-23 19,751.1 0.50%
15-Oct-23 3,266.2 -0.53% 15-Oct-23 19,542.7 -1.06%
22-Oct-23 3,120.7 -4.45% 22-Oct-23 19,047.3 -2.53%
29-Oct-23 3,274.5 4.93% 29-Oct-23 19,230.6 0.96%
05-Nov-23 3,256.4 -0.55% 05-Nov-23 19,425.4 1.01%
12-Nov-23 3,338.9 2.53% 12-Nov-23 19,731.8 1.58%
19-Nov-23 3,397.0 1.74% 19-Nov-23 19,794.7 0.32%
26-Nov-23 3,489.5 2.72% 26-Nov-23 20,267.9 2.39%
03-Dec-23 3,634.7 4.16% 03-Dec-23 20,969.4 3.46%
10-Dec-23 3,600.6 -0.94% 10-Dec-23 21,456.7 2.32%
17-Dec-23 3,627.4 0.74% 17-Dec-23 21,349.4 -0.50%
24-Dec-23 3,675.5 1.33% 24-Dec-23 21,731.4 1.79%
31-Dec-23 3,712.6 1.01% 31-Dec-23 21,710.8 -0.09%
07-Jan-24 3,726.0 0.36% 07-Jan-24 21,894.6 0.85%
14-Jan-24 3,810.6 2.27% 14-Jan-24 21,622.4 -1.24%
21-Jan-24 3,770.2 -1.06% 21-Jan-24 21,352.6 -1.25%
28-Jan-24 3,612.4 -4.19% 28-Jan-24 21,853.8 2.35%
04-Feb-24 3,591.6 -0.58% 04-Feb-24 21,782.5 -0.33%
11-Feb-24 3,655.4 1.78% 11-Feb-24 22,040.7 1.19%
18-Feb-24 3,692.0 1.00% 18-Feb-24 22,212.7 0.78%
25-Feb-24 3,765.9 2.00% 25-Feb-24 22,338.8 0.57%
03-Mar-24 3,786.9 0.56% 03-Mar-24 22,493.6 0.69%
10-Mar-24 3,633.2 -4.06% 10-Mar-24 22,023.4 -2.09%
17-Mar-24 3,706.7 2.02% 17-Mar-24 22,096.8 0.33%
24-Mar-24 3,801.8 2.57% 24-Mar-24 22,326.9 1.04%
31-Mar-24 3,754.5 -1.25% 31-Mar-24 22,513.7 0.84%
07-Apr-24 3,619.3 -3.60% 07-Apr-24 22,519.4 0.03%
14-Apr-24 3,563.1 -1.55% 14-Apr-24 22,147.0 -1.65%
21-Apr-24 3,584.8 0.61% 21-Apr-24 22,420.0 1.23%
28-Apr-24 3,533.9 -1.42% 28-Apr-24 22,475.9 0.25%
05-May-24 3,289.9 -6.91% 05-May-24 22,055.2 -1.87%
12-May-24 3,361.2 2.17% 12-May-24 22,466.1 1.86%
19-May-24 3,412.4 1.52% 19-May-24 22,957.1 2.19%
26-May-24 3,241.9 -5.00% 26-May-24 22,530.7 -1.86%
02-Jun-24 3,444.1 6.24% 02-Jun-24 23,290.2 3.37%
09-Jun-24 3,530.1 2.50% 09-Jun-24 23,465.6 0.75%
16-Jun-24 3,399.8 -3.69% 16-Jun-24 23,501.1 0.15%
23-Jun-24 3,404.2 0.13% 23-Jun-24 24,010.6 2.17%
30-Jun-24 3,269.4 -3.96% 30-Jun-24 24,323.9 1.30%
07-Jul-24 3,229.9 -1.21% 07-Jul-24 24,502.2 0.73%
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Weighted Average Cost of Capital

All figures are in INR unless stated otherwise

Peer Comps
Debt/ Debt/ Levered Unlevered
1
Name of the Comp Country Total Debt Total Equity Tax Rate Equity Capital Beta 2 Beta 3

Titan Company India 15,528.0 2,94,678.4 30.00% 5.27% 5.01% 0.93 0.90
Kalyan Jewellers India 4,486.4 72,377.0 30.00% 6.20% 5.84% 0.79 0.76
Senco Gold India 1,756.0 9,793.0 30.00% 17.93% 15.20% 0.51 0.45
P N Gadgil Jewe. India 262.3 9,465.0 30.00% 2.77% 2.70% 1.96 1.92
Rajesh Exports India 655.0 7,415.4 30.00% 8.83% 8.12% 1.01 0.95

Average 30.00% 8.20% 7.37% 1.04 1.00

Median 30.00% 6.20% 5.84% 0.93 0.90

Cost of Debt Cost of Equity

Pre-Tax Cost of Debt 3.99% Risk Free Rate 6.94%

Tax-Rate 30.00% Equity Risk Premium 8.67%
Post Tax Cost of Debt 2.79% Levered Beta 4 0.94
Cost of Equity 15.05%

Capital Structure Levered Beta

Current Target Comps Median Unlevered Beta 0.90

Total Debt 15,528.0 5.01% 5.84% Target Debt/Equity 6.20%
Market Capitalization 2,94,678.4 94.99% 94.16% Tax Rate 30%
Total Capital 3,10,206.4 100.00% 100.00% Levered Beta 0.94

Debt/Equity 5.27% 6.20% Weighted Average Cost of Capital

Notes: Total Cost Total Weight

1. Tax Rate considered as Marginal Tax Rate for the country Debt 2.79% 5.84%
2. Levered Beta is based on 2 years weekly data Equity 15.05% 94.16%
3. Unlevered Beta= Levered Beta/(1+(1-Tax Rate)*Debt/Equity Weighted Average Cost of Capital 14.33%
4. levered Beta= Unlevered Beta* (1+(1-Tax Rate)*Debt/Equity
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Intrinsic value
Calculation of ROIC Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Current Assets
Inventories 8,103.0 8,408.0 13,609.0 16,584.0 19,051.0
Trade receivables 312.0 366.0 565.0 674.0 1,018.0
Cash Equivalents 381.0 560.0 1,573.0 1,343.0 1,526.0
Short term loans 24.0 26.0 29.0 35.0 38.0
Other asset items 1,915.0 1,705.0 2,489.0 2,727.0 3,763.0
Total Current Assets 10,735.0 11,065.0 18,265.0 21,363.0 25,396.0

Current Liabilities
Trade Payables 596.0 789.0 1,294.0 1,214.0 1,410.0
Advance from Customers 386.0 479.0 532.0 718.0 1,085.0
Other liability items 2,327.0 2,036.0 2,754.0 3,817.0 4,131.0
Total Current Liabilities 3,309.0 3,304.0 4,580.0 5,749.0 6,626.0

Net Working Capital 7,426.0 7,761.0 13,685.0 15,614.0 18,770.0

Non-Current Assets
Land 108.0 108.0 136.0 144.0 163.0
Building 1,473.0 1,617.0 1,853.0 2,403.0 3,546.0
Plant Machinery 724.0 739.0 768.0 838.0 899.0
Equipments 70.0 76.0 96.0 130.0 110.0
Computers 119.0 142.0 159.0 204.0 212.0
Furniture n fittings 313.0 309.0 321.0 376.0 173.0
Vehicles 28.0 30.0 38.0 40.0 50.0
Intangible Assets 333.0 320.0 320.0 320.0 320.0
Other fixed assets 135.0 158.0 157.0 205.0 305.0
Gross Block 3,303.0 3,499.0 3,848.0 4,660.0 5,778.0
Accumulated Depreciation (670.0) (976.0) (1,304.0) (1,662.0) (2,069.0)
Net Non-Current Assets 2,633.0 2,523.0 2,544.0 2,998.0 3,709.0

Invested Capital 10,059.0 10,284.0 16,229.0 18,612.0 22,479.0

EBIT 2,115.0 1,350.0 2,945.0 4,441.0 4,708.0

ROIC 21.03% 13.13% 18.15% 23.86% 20.94%

Calculation of Reinvestment Rate Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Net Capex 345.0 139.0 216.0 420.0 671.0

Change in Working Capital 335.0 5,924.0 1,929.0 3,156.0

EBIT 2,115.0 1,350.0 2,945.0 4,441.0 4,708.0

Marginal Tax Rate 25.00% 25.00% 25.00% 25.00% 25.00%
EBIT(1-T) 1,586.3 1,012.5 2,208.8 3,330.8 3,531.0

Reinvestment 474.0 6,140.0 2,349.0 3,827.0

Reinvestment Rate 46.81% 277.99% 70.52% 108.38%

4 Year Average 125.93%

4 Year Median 89.45%

Calculation of Growth Rate Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Reinvestment Rate 46.81% 277.99% 70.52% 108.38%

ROIC 13.13% 18.15% 23.86% 20.94%

Intrinsic Growth 6.15% 50.44% 16.83% 22.70%

4 Year Average 24.03%

4 Year Median 19.76%
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Calculation of PV of FCFF Mar-24A Mar-25F Mar-26F Mar-27F Mar-28F Mar-29F

EBIT 5,242.0 5,417.1 5,598.0 5,785.0 5,978.2 6,177.9

Tax Rate 25.00% 25.00% 25.00% 25.00% 25.00% 25.00%
EBIT(1-T) 3,931.5 4,062.8 4,198.5 4,338.7 4,483.7 4,633.4
Less: Reinvestment Rate 35.40% 35.40% 35.40% 35.40% 35.40% 35.40%
Free Cash Flow to Firm (FCFF) 2,539.7 2,624.6 2,712.2 2,802.8 2,896.4 2,993.2
Mid-Year Convention 0.5 1.5 2.5 3.5 4.5
Discounting Factor 0.9 0.8 0.7 0.6 0.5

PV of FCFF 2,454.6 2,218.6 2,005.3 1,812.5 1,638.2

Expected Growth 3.34%

Terminal Growth 5.38%
WACC 14.33%

Calculation of Terminal Value Sensitivity Analysis- Enterprise value

WACC
FCFF (n+1) 3,093.2 34551.2 13.00% 14.33% 15.70% 17.00%
WACC 14.33% 3.00% 30,931.5 30,931.5 24,355.5 22,094.0
Terminal Growth Rate 5.38% 4.00% 34,368.4 34,368.4 26,437.2 23,793.5
5.38% 40,592.6 40,592.6 29,972.4 26,619.2
Terminal Value 34,551.2 6.00% 44,187.9 44,187.9 31,888.2 28,119.6
7.00% 51,552.6 51,552.6 35,553.5 30,931.5
Calculation of Equity Value Per Share Growth

PV of FCFF 10,129.1
PV of Terminal Value 18,910.4 Sensitivity Analysis- Equity value per Share
WACC
Enterprise Value 29,039.5 195.8 13.00% 14.33% 15.70% 17.00%
Add: Cash 1,526.0 3.00% 183.9 151.1 125.2 105.6
Less: Debt 13,179.0 4.00% 206.2 167.4 137.3 115.1
5.38% 246.6 195.8 158.0 130.8
Equity Value 17,386.5 6.00% 270.0 211.7 169.2 139.1
No. of Shares 88.8 7.00% 317.9 242.9 190.6 154.7
Growth
Equity Value Per Share 195.8

Share Price 3,266.6

Discount/Premium 16.68x
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Amount in crores
Comparable Company Valuation
Market Data Financials Valuation
Shares
Share Outstandin
Company Ticker Price g Equity Value Net debt Enterprise Value Revenue EBITDA Net Income EV/Revenue EV/EBITDA P/E

Titan Company 3,266.6 88.78 2,90,004.3 14,002.0 3,04,006.3 52,453.0 5,954.2 3,455.0 5.8x 51.1x 83.9x
Kalyan Jewellers 671.7 103.12 69,265.7 3,511.3 72,777.0 19,708.0 1,450.0 630.3 3.7x 50.2x 109.9x
P N Gadgil Jewe. 699.4 13.57 9,490.2 215.8 9,705.9 6,032.0 274.0 154.2 1.6x 35.4x 61.5x
Senco Gold 1,204.0 7.77 9,355.1 1,208.7 10,563.8 5,340.5 469.1 213.6 2.0x 22.5x 43.8x
Rajesh Exports 238.4 29.53 7,038.5 (1,618.2) 5,420.3 2,55,343.3 230.5 38.0 0.0x 23.5x 185.1x
PC Jeweller 142.3 46.54 6,622.2 4,004.7 10,626.9 994.7 159.4 15.3 10.7x 66.7x 432.3x
Thangamayil Jew. 2,140.9 2.74 5,865.9 450.1 6,316.1 4,094.1 217.0 121.2 1.5x 29.1x 48.4x
Sky Gold 3,487.1 1.47 5,126.0 233.3 5,359.3 2,092.8 100.0 51.0 2.6x 53.6x 100.4x
Vaibhav Global 275.2 16.61 4,571.1 113.2 4,684.2 3,138.7 295.3 124.6 1.5x 15.9x 36.7x
Goldiam Intl. 337.0 10.68 3,599.2 (140.1) 3,459.1 648.9 138.6 95.7 5.3x 25.0x 37.6x

High 10.7x 66.7x 432.3x

75th Percentile 4.9x 50.8x 107.5x
Average 3.5x 37.3x 114.0x
Median 2.3x 32.3x 72.7x
25th Percentile 1.6x 23.9x 44.9x
Low 0.0x 15.9x 36.7x

Titan Comparable Valuation EV/Revenue EV/EBITDA P/E

Implied Enterprise Value 1,19,037.3 1,92,112.9 2,37,325.4

Net debt 14,002.0 14,002.0 14,002.0
Implied Market Value 1,33,039.3 2,06,114.9 2,51,327.4
Shares Outstanding 88.8 88.8 88.8

Implied Value per Share 1,498.5 2,321.6 2,830.9

Source: The Valuation School, Screener.in Overvalued Overvalued Overvalued
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
Date Adj Close Return Sorted Returns Replication Simulated Returns Calculation of Value at Risk- Titan Company (Historical Approach)
Apr 09, 2020 990.4 -0.5774095 0.109915725 1 -0.012007693
Oct 07, 2021 2,343.64 1.532186615 0.106022709 2 0.003476114 Historical Approach
Apr 07, 2020 925.54 0.075671467 0.098107611 3 0.019270164 Mean 0.09%
Mar 25, 2020 860.43 -0.081443761 0.079274488 4 0.012057996 Std Deviation 1.84%
Jun 01, 2020 936.72 -0.248393231 0.077407927 5 0.001525587 Min -11.49%
Feb 04, 2020 1,246.29 -0.488976181 0.07535204 6 -0.00518083 Max 10.99%
Feb 03, 2023 2,438.81 0.465076323 0.067154121 7 0.00662649 CMP 3266.6
Jun 03, 2021 1,664.63 -0.519843662 0.066537244 8 -0.005721478
Jul 23, 2024 3,466.85 0.690849412 0.065264484 9 -0.004600539 Monte Carlo Simulation
Jun 21, 2022 2,050.36 0.38729059 0.059338366 10 -0.012283521 Mean 0.07%
Feb 01, 2021 1,477.96 0.266808379 0.057211119 11 0.002727207 Std Deviation 1.84%
Sep 03, 2020 1,166.68 -0.444199895 0.057081763 12 -0.011027644 Min -7.24%
Jul 07, 2022 2,099.10 0.562179058 0.056592187 13 0.017468662 Max 7.61%
Nov 20, 2020 1,343.70 -0.453629459 0.05625167 14 -0.000414203 CMP 3266.6
Oct 12, 2021 2,459.32 1.711996736 0.055112705 15 0.002200215
Mar 26, 2020 906.83 -0.664581777 0.053926525 16 -0.023720147 Percentile Confidence VAR % Stock Price VAR (INR)
Oct 07, 2022 2,703.58 2.100080266 0.053091209 17 0.009678233 5.0% 95.0% -2.96% 3363.1 -96.6
May 26, 2020 872.1 -0.6081823 0.050722892 18 0.002538459 1.0% 99.0% -4.16% 3402.4 -135.8
May 30, 2022 2,225.78 0.469103534 0.049643718 19 -0.011058147 0.5% 99.5% -4.55% 3415.1 -148.5
May 18, 2021 1,515.06 0.598805428 0.048317569 20 -0.00451218 10.0% 90.0% -2.27% 3340.6 -74.1
Apr 30, 2020 947.62 -0.232261201 0.048252212 21 -0.044318052
Oct 07, 2020 1,234.30 -0.537179732 0.045042757 22 -0.020422645
Daily Returns Contribution
Mar 17, 2022 2,666.91 0.065536502 0.044716307 23 -0.000174358
180
Nov 08, 2021 2,502.88 1.422360729 0.043179621 24 -0.008666041 160
Jul 22, 2020 1,033.24 -0.580423783 0.041919187 25 0.031923567 140
Feb 15, 2022 2,462.58 1.555630507 0.040828747 26 0.014614643 120
100
Jul 02, 2020 963.59 -0.108117364 0.040290628 27 -0.013397216 80
Aug 13, 2020 1,080.40 -0.712171184 0.039095937 28 0.022503326 60
Mar 01, 2024 3,753.62 1.067392585 0.03904135 29 -0.008295859 40
Aug 03, 2021 1,815.63 20
-0.277844068 0.038749356 30 0.017234785
0
Apr 26, 2022 2,514.18 1.579254593 0.038428178 31 0.003707325

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[-0.05639958…
(-0.05039958…
(-0.04439958…
(-0.03839958…
(-0.03239958…
(-0.02639958…
(-0.02039958…
(-0.01439958…
(-0.00839958…
(-0.00239958…
Jul 17, 2020 974.77 -0.342344774 0.03796107 32 0.013139946
Mar 26, 2021 1,482.19 -0.041652388 0.037911838 33 0.019378024
Apr 08, 2021 1,546.61 0.317272805 0.037777375 34 0.008882839
Dec 20, 2019 1,174.10 -0.657977989 0.03697096 35 0.020899674
Jun 07, 2024 3,432.82 2.249268805 0.036848877 36 0.020841211
Aug 03, 2020 1,056.49 -0.227248789 0.036668891 37 0.004798263
Dec 02, 2020 1,367.18 -0.45064933 0.035718885 38 0.029632576
Dec 31, 2021 2,488.72 1.585790578 0.034914087 39 -0.00374508
Apr 16, 2020 962.46 -0.038779974 0.034869843 40 0.029680204
Jun 08, 2020 1,001.29 -0.427146862 0.034358439 41 0.009167899
Aug 02, 2021 1,747.90 -0.333376557 0.033245451 42 0.004635123
Jan 10, 2022 2,622.02 0.834439912 0.032962357 43 0.007753359
Mar 01, 2021 1,429.33 -0.616065649 0.032163722 44 0.005316784
Sep 05, 2024 3,722.85 1.450371882 0.031917842 45 -0.017694554
Dec 28, 2020 1,519.30 -0.016309591 0.031852757 46 0.003329643
May 25, 2021 1,544.49 -0.362302744 0.031819943 47 0.003435972
Oct 26, 2021 2,421.98 0.127924034 0.031775717 48 0.030872693
May 17, 2022 2,147.29 -0.145374221 0.031641708 49 0.006934385
Feb 28, 2022 2,512.55 0.201286128 0.03164045 50 -0.000120947
Sep 15, 2021 2,091.55 0.368985672 0.03120917 51 0.005493988
Mar 30, 2021 1,527.81 -0.175658395 0.03077878 52 0.004299911
Aug 30, 2021 1,853.37 -0.274528224 0.030669217 53 0.020312174
Dec 28, 2022 2,554.71 0.285925695 0.030598743 54 -0.007841368
Jul 06, 2022 1,986.67 -0.17198968 0.030344992 55 0.018561567
Feb 01, 2022 2,399.33 -0.070473881 0.030290408 56 -0.004902544
Sep 30, 2022 2,581.24 0.19054845 0.029802038 57 -0.004945777
Jul 15, 2022 2,168.11 0.833543346 0.029262225 58 0.006127284
Sep 30, 2020 1,182.47 -0.641562796 0.029165506 59 -0.019017371
Oct 06, 2023 3,298.96 0.279177346 0.028992424 60 -0.023993812
Aug 30, 2022 2,578.97 1.370202559 0.028814317 61 0.032015155
Aug 05, 2020 1,088.08 -0.673112801 0.028129754 62 -0.004271454
Sep 18, 2023 3,328.61 2.485127056 0.027983323 63 -0.001321701
Jun 12, 2020 955.09 -0.619170468 0.027807372 64 -0.020754357
Aug 26, 2022 2,507.92 1.123376513 0.026939598 65 -0.00272713
Nov 03, 2020 1,181.10 -0.213224175 0.026918462 66 0.002646835
Feb 03, 2021 1,501.19 -0.446180011 0.026728495 67 -0.010509315
Sep 22, 2022 2,710.61 -0.216785904 0.026610109 68 -0.019817218
Jun 13, 2024 3,460.88 0.737093066 0.026580487 69 0.000205504
Sep 03, 2021 1,992.34 0.777510126 0.026534902 70 -0.010243476
Sep 28, 2020 1,120.86 0.351948569 0.026503773 71 -0.034914288
May 20, 2020 829.07 -0.654721051 0.026483261 72 -0.029331437
Mar 09, 2022 2,401.16 -0.31280569 0.026316577 73 -0.056399585
Jul 26, 2024 3,494.15 0.422850139 0.025941042 74 -0.013362549
Aug 23, 2022 2,455.74 0.008314549 0.02589232 75 -0.010287278
Feb 25, 2022 2,435.49 -0.368068313 0.025698366 76 -0.013239795
Jan 29, 2024 3,854.04 0.384094925 0.025583438 77 0.033570018
May 29, 2023 2,784.52 1.078294684 0.025564342 78 -0.017367034
Nov 27, 2020 1,339.81 0.05925557 0.025464203 79 0.005263384
Nov 09, 2020 1,264.86 0.100873834 0.025174258 80 0.012992126
Sep 29, 2020 1,148.96 0.0107945 0.025070036 81 -0.002024452
Nov 25, 2019 1,136.69 -0.680740928 0.024654299 82 0.006310799
Aug 21, 2024 3,560.40 0.339740285 0.024605025 83 0.01086536
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
INR 3348.35
52 Week (High- INR 3886.95 & Low- 3055.65)

About the Compnay

Titan Company Limited is an Indian company that mainly manufactures fashion accessories such
as jewellery, watches and eyewear. Part of the Tata Group and started as a joint venture with TIDCO, the company has its
corporate headquarters in Electronic City, Bangalore, and registered office in Hosur, Tamil Nadu.

Financial Summary

Revenues (INR Cr) Net Profit (INR Cr) Average Total Assets (INR Cr)
51,084 3,496 29,284
3,250
40,575 24,104
2,173 18,816
28,799
14,994
21,644
973

2021 2022 2023 2024 2021 2022 2023 2024 2021 2022 2023 2024

Return on Equity (%) Return on Assets (%) Financial Leverage (x) 2.8x
13.48% 2.3x
2.1x 2.2x
32.91% 11.55% 11.94%
30.73%
25.87%
6.49%
13.74%

2021 2022 2023 2024 2021 2022 2023 2024 2021 2022 2023 2024

Recent Updates
- Titan Company's revenue for FY 23-24 was ₹ 51,084 cr .
- Net Income for the same period was ₹ 3,496 cr.
- Q1 FY 24-25 revenue stood at ₹ 12,053 cr up 8.15% Y-O-Y
- 17 New stores were opened during the Q1 FY24-25
- There was 0.9% year-on-year (YoY) dip in standalone net profit at ₹770 crore for the Q1 FY24-25 that ended June 30, 2024.
- At the operating level, standalone EBITDA grew 9.8% to ₹1,211 crore in the Q1 of this fiscal over ₹1,103 crore in the year-ago period.
- Standalone EBITDA margin stood at 10.1% in the reporting quarter compared to 9.9% in the Q1 of FY24
 Dupont Analysis - Return on Equity & Return on Asset

Return on Equity (ROE)

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit 1,130.1 1,404.2 1,501.0 973.0 2,173.0 3,250.0 3,496.0
Average Shareholder Equity 4,661.1 5,580.0 6,369.6 7,083.0 8,400.0 10,577.0 10,622.0
Return on Equity 24.24% 25.16% 23.57% 13.74% 25.87% 30.73% 32.91%

ROE - Dupont Equation

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit 1,130.1 1,404.2 1,501.0 973.0 2,173.0 3,250.0 3,496.0
Revenue 16,119.8 19,778.5 21,052.0 21,644.0 28,799.0 40,575.0 51,084.0
Net Profit Margin (A) 7.01% 7.10% 7.13% 4.50% 7.55% 8.01% 6.84%

Revenue 16,119.8 19,778.5 21,052.0 21,644.0 28,799.0 40,575.0 51,084.0

Average Total Asset 8,964.3 10,615.4 12,626.9 14,994.0 18,816.0 24,104.0 29,283.5
Asset Turnover Ratio (B) 1.8x 1.9x 1.7x 1.4x 1.5x 1.7x 1.7x

Average Total Asset 8,964.3 10,615.4 12,626.9 14,994.0 18,816.0 24,104.0 29,283.5
Average Shareholder Equity 4,661.1 5,580.0 6,369.6 7,083.0 8,400.0 10,577.0 10,622.0
Equity Multiplier (c) 1.9x 1.9x 2.0x 2.1x 2.2x 2.3x 2.8x

Return on Equity (A*B*C) 24.24% 25.16% 23.57% 13.74% 25.87% 30.73% 32.91%

Return on Asset
Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit 1,130.1 1,404.2 1,501.0 973.0 2,173.0 3,250.0 3,496.0
Average Shareholder Equity 8,964.3 10,615.4 12,626.9 14,994.0 18,816.0 24,104.0 29,283.5
Return on Equity 12.61% 13.23% 11.89% 6.49% 11.55% 13.48% 11.94%

ROA - Dupont equation

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit 1,130.1 1,404.2 1,501.0 973.0 2,173.0 3,250.0 3,496.0
Revenue 16,119.8 19,778.5 21,052.0 21,644.0 28,799.0 40,575.0 51,084.0
Net Profit Margin (A) 7.01% 7.10% 7.13% 4.50% 7.55% 8.01% 6.84%

Revenue 16,119.8 19,778.5 21,052.0 21,644.0 28,799.0 40,575.0 51,084.0

Average Total Asset 8,964.3 10,615.4 12,626.9 14,994.0 18,816.0 24,104.0 29,283.5
Asset Turnover Ratio (B) 1.8x 1.9x 1.7x 1.4x 1.5x 1.7x 1.7x

Return on Asset (A*B) 12.61% 13.23% 11.89% 6.49% 11.55% 13.48% 11.94%

Dupont Summary
- ROE of Titan decreased to 13.74% during Covid and has now increased to 32.91%, surpassing Pre-Covid levels.
- Net Profit Margin increased from 4.5% in 2021to 6.84% in 2024, but decreased by approx. 17% from 2023 levels.
- The Asset Turnover Ratio increased from 1.4x in 2021 to 1.7x in 2024 indicating a consistent level in utilizing assets to generate sales.
- The Equity Multiplier increased from 2.1x in 2021 to 2.8x in 2024 indicating an increase in financial leverage (increasing debt levels).
- The Return on Assets almost doubled during the 4 year period from 6.49% in 2021 to 11.94% in 2024 though it decreaded by approx
11.4% from the peak 2023 levels.
Disclaimer: This report is made as part of educational assignment and is meant for educational purpose only. The author of the report is not liable for
any losses due to actions taken basis this report. It is advisable to consult SEBI registered research analyst before making any investments.
 TITAN COMPANY LTD
( TITAN | BSE Code: 500114 )
INR 3348.35
52 Week (High- INR 3886.95 & Low- 3055.65)

Altman's Z Score Analysis

Titan Company Limited is an Indian company that mainly manufactures fashion accessories such as jewellery, watches and eyewear. Part
of the Tata Group and started as a joint venture with TIDCO, the company has its corporate headquarters in Electronic
City, Bangalore, and registered office in Hosur, Tamil Nadu.

Financial Summary
Working Capital / Total Assets Retained Earnings / Total Assets EBIT / Total Assets
64.45% 16.44%
57.59% 59.50% 7.69% 14.92%
13.90%
47.17% 6.39% 6.29%

8.21%
2.66%

2021 2022 2023 2024 2021 2022 2023 2024 2021 2022 2023 2024

Market Cap / Long term Liabilities Sales / Total Assets Altman Z Score
21.25
161.93%
150.17%
3095% 131.62% 135.92% 16.91 17.14
15.96
2453% 2384%
2174%

2021 2022 2023 2024 2021 2022 2023 2024 2021 2022 2023 2024

Recent Updates
- Titan Company's revenue for FY 23-24 was ₹ 51,084 cr .
- Net Income for the same period was ₹ 3,496 cr.
- Q1 FY 24-25 revenue stood at ₹ 12,053 cr up 8.15% Y-O-Y
- 17 New stores were opened during the Q1 FY24-25
- There was 0.9% year-on-year (YoY) dip in standalone net profit at ₹770 crore for the Q1 FY24-25 that ended June 30, 2024.
- At the operating level, standalone EBITDA grew 9.8% to ₹1,211 crore in the Q1 of this fiscal over ₹1,103 crore in the year-ago period.
- Standalone EBITDA margin stood at 10.1% in the reporting quarter compared to 9.9% in the Q1 of FY24
 Altman's Z Score Calculation

Working Capital / Total Assets

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Working Capital 5,227.7 6,756.3 7,422.0 7,756.0 13,655.0 15,561.0 18,770.0
Total Assets 9,521.0 11,709.8 13,544.0 16,444.0 21,188.0 27,020.0 31,547.0
Working Capital / Total Assets (A) 54.91% 57.70% 54.80% 47.17% 64.45% 57.59% 59.50%

Retained Earnings / Total Assets

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Retained Earnings 699.1 766.3 984.0 438.0 1,353.5 2,078.0 1,983.0
Total Assets 9,521.0 11,709.8 13,544.0 16,444.0 21,188.0 27,020.0 31,547.0
Retained Earnings / Total Assets (B) 7.34% 6.54% 7.27% 2.66% 6.39% 7.69% 6.29%

EBIT / Total Assets

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
EBIT 1,512.8 1,831.0 2,115.0 1,350.0 2,945.0 4,441.0 4,708.0
Total Assets 9,521.0 11,709.8 13,544.0 16,444.0 21,188.0 27,020.0 31,547.0
EBIT / Total Assets (c) 15.89% 15.64% 15.62% 8.21% 13.90% 16.44% 14.92%

Market Cap / Long term Liabilities

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Market Cap 83,657.4 1,01,373.4 82,893.9 1,38,323.7 2,25,159.4 2,23,272.8 3,37,523.8
Long term Liabilities 1,691.0 2,393.0 3,562.0 5,638.0 7,275.0 9,367.0 15,528.0
Market Cap / Long term Liabilities (D) 4947.19% 4236.28% 2327.17% 2453.42% 3094.97% 2383.61% 2173.65%

Sales / Total Assets

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Sales 16,119.8 19,778.5 21,052.0 21,644.0 28,799.0 40,575.0 51,084.0
Total Assets 9521.04 11709.84 13544 16444 21188 27020 31547
Sales / Total Assets (e) 169.31% 168.91% 155.43% 131.62% 135.92% 150.17% 161.93%

Altman's Z Score
Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Final Score 32.66 28.41 16.79 16.91 21.25 17.14 15.96
Financial Health Strong Strong Strong Strong Strong Strong Strong