Kalyan Jewellers Shares Surge 50 Percent on Robust Quarterly Revenue Growth
Kalyan Jewellers has seen its market valuation jump by Rs 18,200 crore following a 38 percent revenue increase in the first quarter, signaling resilient consumer demand and prompting upgraded price targets from major brokerages.
Shares of Indian jewellery retailer Kalyan Jewellers have surged 50 percent over five trading days, adding Rs 18,200 crore to its market capitalisation. The stock reached Rs 531 apiece, pushing the company’s total market value above Rs 54,800 crore.
This sharp rally follows the company’s first-quarter fiscal 2027 business update, which revealed consolidated revenue growth of nearly 38 percent year-on-year for the April-to-June period. Notably, this expansion occurred despite the quarter including a 28-day Adhik Maas, a traditional period when Indian consumers typically defer gold purchases.
The company’s global footprint also contributed significantly to the positive momentum. International operations posted approximately 35 percent year-on-year revenue growth, with the Middle East region alone delivering a 30 percent increase. Management noted this was driven by same-store sales growth, overcoming reduced footfall in April caused by regional geopolitical tensions.
The robust top-line performance has triggered a wave of upgraded price targets from major financial institutions, highlighting the stock's appeal to institutional investors. Citi projected the shares could reach Rs 750, representing a 47 percent upside from the recent Rs 510.65 closing price. The brokerage cited the company’s franchise-led expansion and an asset-light model that supports deleveraging and improves return on capital employed.
ICICI Securities similarly maintained a Buy rating with a target price of Rs 670, implying more than 31 percent upside. The firm pointed to continued store expansion and the broader formalisation of the Indian jewellery sector as key drivers, though it warned that a structural decline in natural diamond prices remains a notable risk.
Market technicians observe that the stock has broken above a downward-sloping trendline and continues to trade above key short- and long-term moving averages. Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, noted the stock has closed above the upper Bollinger Band for four consecutive sessions. He identified the Rs 470 to Rs 475 zone as critical support for sustaining the bullish trend.
Despite the recent rally, the stock remains down more than 9 percent over the past year. However, longer-term holders have been rewarded, with the shares delivering 191 percent returns over three years and 598 percent over five years. The recent 54 percent gain in a single month underscores a decisive shift in market sentiment toward the retailer.
