Titan closes in on TCS in market value as jewellery business shines

Titan Company, which was valued at less than a tenth of Tata Consultancy Services (TCS) around six years ago, has steadily narrowed the gap. The jewellery maker is now worth more than half of the Tata Group's largest company by market capitalisation.

TCS currently commands a market value of about ₹7.6 lakh crore, compared with just over ₹4 lakh crore for Titan.

Titan shares climbed to a record high of ₹4,655.90 on Tuesday, July 7, after the company reported 41% year-on-year growth in its consumer businesses during the first quarter of FY27, beating Street estimates. The performance was driven by robust demand across its jewellery, watches and international businesses.

In contrast, TCS shares have remained under pressure amid concerns over the disruptive impact of artificial intelligence, delays in discretionary technology spending and heightened geopolitical uncertainty, all of which have weighed on investor sentiment towards Indian IT stocks.

So far this year, TCS shares have declined nearly 34%, while Titan has emerged as the best-performing large Tata Group company, gaining about 14%. Titan now accounts for nearly 17% of the Tata Group's combined market capitalisation of around ₹24 lakh crore.

The correction in TCS has also significantly reduced its dominance within the Tata Group. The IT major now contributes about 31.4% of the group's total market capitalisation, down sharply from nearly 75% at its peak in 2020.

Meanwhile, Morgan Stanley has maintained its 'Overweight' rating on Titan with a target price of ₹5,182, saying the company's first-quarter jewellery business delivered another strong performance.

The brokerage noted that ex-bullion revenue at Tanishq, Mia, Zoya and beYon grew 39% year-on-year, comfortably ahead of its 30% estimate, driven by healthy buyer additions, higher ticket sizes and strong festive demand, including Akshaya Tritiya.

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"Strong momentum in the India jewellery business, coupled with a favourable product mix and healthy customer growth, should continue to support the stock's outperformance," Morgan Stanley said in a note.

Despite Titan's rapid rise in market value, the gap with TCS remains substantial in terms of financial performance. Titan reported FY26 revenue of ₹76,797 crore, equivalent to about 29% of TCS's FY26 revenue, while its ₹5,069 crore net profit was just over 10% of TCS's ₹49,210 crore profit during the year.