Kalyan Jewellers India Limited

Consumer Cyclical — Luxury Goods · NSE

₹558.00−₹0.85 (−0.15%)

DalalBaazaar Score

71 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by moderate debt load.

In simple words: Strong business and financial position, with both sales and profits growing well. Valuation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:48 pm

Understanding the Business

Company site ↗

The 60-second version of Kalyan Jewellers India Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Kalyan Jewellers India Limited, together with its subsidiaries, engages in the manufacture and retail of various gold and precious stone studded jewelry products in India, the Middle East, the United states of America, and United Kingdom, and internationally.

IndustryLuxury Goods

SectorConsumer Cyclical

Employees14,668

Annual revenue₹35,616 Cr

How does it make money?

Turns over ₹35,616 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹7 left at the operating level before interest, tax and depreciation. Each of its 14,668 employees supports ₹2.43 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹2.43 Cr

Who are its competitors?

The closest listed comparisons in its industry are TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED, ASIAN PAINTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 26.7%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 21.4% against a peer median of 25.9% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE25.9%

What is the outlook?

9 analysts covering the stock expect revenue to grow about 31.2% and earnings to grow about 22.7% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+31.2%

Est. earnings growth+22.7%

Analysts9

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +154% while net margin moved +23% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+154%

Margin effect+23%

DalalBaazaar Score

71/ 100

Good

Weighted across six categories. Every point is explained below.

✗ P/E of 40.2x is demanding — it needs sustained high growth to justify
✓ P/E is 50% below its own historical median of 80.6x — cheap by its own standards
✗ P/B of 9.12x is a steep premium to book

Quality vs. Valuation

Company Quality

76/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

67/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

40.2x

3Y Median

80.6x

40 monthly readings · mean 81.4x · range 42.4x–138.0x

Sector Median

69.2x

median of 4 sector peers

🟢Current valuation is approximately 50% below its 3y median of 80.6x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 42% below the peer median of 69.2x.

vs. its own history

Cheap

80.6x median over 40 months · -50%

vs. sector peers

Cheap

69.2x median of 4 peers · -42%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

24.3x

PEG

0.87

What's Good / What's Bad

🟢 What's Going Well4

Return on equity is rising
ROE has improved from 11.9% to 21.4%.
Return on capital is rising
ROCE has improved from 19.8% to 26.7%.
High return on capital employed
ROCE of 26.7% is the mark of a business that converts capital into profit efficiently.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Receivables growing faster than salesFinancial
Receivables up 255% against revenue up 154% — sales are being booked faster than they are collected.
🟡Debt is increasingFinancial
Total debt is up 42% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 26.7% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Priced below its own history
The stock trades 50% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 42% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 255% against revenue up 154%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 27% a year✓ 36.4% CAGR
Latest reported year was 45.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 5%✓ 7.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✓ ₹911 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 24%✓ 26.7%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 12 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✗ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 3 neutral · 2 weak

Market Cap

₹57,628 Cr

Mid Cap

Mid-sized — more growth headroom, but sharper swings than large caps

P/E (Trailing)

40.2x

Expensive

Expensive — verify against sector peers

P/B Ratio

9.12x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹13.87

Profitable

Profitable on a per-share basis

ROE

21.4%

Strong

Strong capital efficiency

ROCE

26.7%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.97x

Moderate

Moderate leverage

Revenue Growth (YoY)

45.7%

Healthy

Healthy top-line growth

Profit Growth (YoY)

31.6%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.45%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹911 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

28.7x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

4.9%

Weak

Thin margins leave little room for error

Net Margin

3.7%

Average

Average bottom-line conversion

Current Ratio

1.30

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.20

Defensive

Steadier than the market

52W Range Position

72%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

564.6 / 586.8

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

45.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹14,025 Cr	₹18,473 Cr	₹24,946 Cr	₹35,616 Cr	+36.4%
EBITDA	₹1,119 Cr	₹1,333 Cr	₹1,597 Cr	₹2,609 Cr	+32.6%
EBITDA Margin	8.0%	7.2%	6.4%	7.3%	—
PAT (Net Profit)	₹433 Cr	₹597 Cr	₹715 Cr	₹1,350 Cr	+46.1%
EPS	₹4.2	₹5.8	₹6.93	₹13.05	+45.9%
ROE	11.9%	14.3%	14.9%	21.4%	—
ROCE	19.8%	20.8%	20.6%	26.7%	—
Total Debt	₹4,295 Cr	₹4,495 Cr	₹4,959 Cr	₹6,117 Cr	+12.5%
Free Cash Flow	₹826 Cr	₹950 Cr	₹745 Cr	₹911 Cr	+3.3%

🟢 Revenue has grown at 36.4% a year over 3 years.

🟢 EBITDA has grown at 32.6% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 7.3% over 3 years.

🟢 PAT (Net Profit) has grown at 46.1% a year over 3 years.

🟢 EPS has grown at 45.9% a year over 3 years.

🟢 ROE has risen from 11.9% to 21.4% over 3 years (+9.5 pts).

🟢 ROCE has risen from 19.8% to 26.7% over 3 years (+6.9 pts).

🔴 Total Debt has grown at 12.5% a year over 3 years.

🟢 Free Cash Flow has grown at 3.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹20,717 Cr

Total Liabilities

₹14,408 Cr

Cash & Equivalents

₹307 Cr

Operating Cash Flow

₹1,318 Cr

Capex

-₹406 Cr

Shareholding (proxy)

Institutional Holding

22.9%

Insider Holding

62.9%

Corporate Actions

Dividend Rate

₹2.5

Ex-Dividend Date

11 Sept 2026

Analyst Consensus

Recommendations

9 Buy · 1 Hold · 0 Sell

Target Price (Mean)

₹768.2

+37.7% vs CMP

Target Range

₹600 – ₹900

Peer Comparison

Company	P/E	ROE
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%
ASIAN PAINTS LIMITED	46.9x	22.3%

Recent News

1 positive2 mixed3 general

Kalyan Jewellers India Limited (KALYANKJIL.BO) Stock Price, News, Quote & History

Yahoo! Finance Canada, 09 Oct

Titan, Kalyan Jewellers, PC Jeweller shares shine - Why jewellery stocks are glittering? Expert decodes rally

Livemint, 05 Oct

STOCK OF THE DAY Buy Kalyan Jewellers Futures: SL 583 Tgt 610, 616, 626 -Strong upgrades by brokerages even after weak results #StockOfTheDay #KalyanJewellers #StockMarket #ShareMarket

Facebook, 06 AugAnalyst view

🟢Potentially positiveAn analyst opinion changing, which moves the price without changing the business.

Kalyan Jewellers Share Price Surges 34% in 3 Days | What's driving the rally?

India Infoline, 10 JulPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Kalyan Jewellers Share Price After a 55% Three-Month Run: Jefferies' 46% Upside Call, Chart Levels and Risks

Univest, 09 Oct

Beyond Titan and Kalyan: Analysts pick these jewellery stocks as potential market winners. Do you own any?

The Economic Times, 16 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongFinancial Health · Growth · Profitability · Risk

MiddlingBusiness Quality

WeakValuation

Points for each in the Score ↑

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself. 1 high-severity red flag sits above this conclusion and should be read first.

1 of 5 tripwires tripped — Debt / EBITDA stays below 2x · see Key things to watch ↑