Kalyan Jewellers shares surged up to 9%, extending their three-day rally to 36%, after Citi reiterated its 'Buy' rating with a ₹750 target price.
Citi remains positive on the company's franchise-led expansion, improving RoCE and strong growth in Candere, despite Q1 revenue missing estimates.
The company reported 38% India revenue growth and 112% growth in Candere, while expanding its retail network to 524 stores.
Shares of Kalyan Jewellers extended their rally for a third consecutive session on Friday, rising nearly 9% intraday after Citigroup reiterated its bullish view on the stock despite the company's June-quarter revenue growth falling short of expectations.
The stock climbed as much as 8.67% to an intraday high of ₹483.10. Around 11:10 a.m., it was trading 5.52% higher at ₹469.10, while the BSE Sensex was up about 1.05%.
1 June 2026
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With Friday's gains, Kalyan Jewellers has rallied 36.12% over the past three trading sessions, adding nearly ₹11,500 crore to its market capitalisation, which stood at around ₹48,850 crore during the session.
The sharp rebound has also erased most of the stock's losses for the year. Kalyan Jewellers is now down only 2.1% in 2026, compared with a 7.5% decline in the Nifty 50.
Brokerage Reaffirms Bullish View
The latest leg of the rally gathered momentum after Citigroup reaffirmed its 'Buy' rating on the stock and maintained a target price of ₹750 per share.
According to Bloomberg data, Kalyan Jewellers currently has eight 'Buy' recommendations, with consensus estimates implying an upside of up to 42%.
Although Citi acknowledged that the company's June-quarter consolidated revenue growth of 38% year-on-year came in below its estimates, the brokerage said the miss did not alter its constructive long-term outlook.
It expects Kalyan Jewellers' franchise-led expansion strategy to continue supporting profitable growth while improving return on capital employed (RoCE). Citi also highlighted the strong performance of Candere, the company's digital-first jewellery business, as an additional long-term growth driver.
Business Update Supports Long-Term Optimism
In its June-quarter business update, Kalyan Jewellers reported 38% growth in India revenue, supported by same-store sales growth (SSSG) of 28%.
Its international business grew about 35% year-on-year, with West Asia operations expanding around 30%. Overseas markets contributed roughly 14% of consolidated revenue during the quarter.
Candere remained the fastest-growing business, posting a 112% increase in revenue from a year earlier.
During the quarter, the company opened 12 Kalyan showrooms and five Candere stores, taking its total retail network to 524 outlets as of June 30. Management also said it entered the second quarter on a positive note ahead of the festive and wedding season.
The latest rally marks a sharp reversal from earlier this week, when the stock had fallen nearly 7% after investors reacted negatively to revenue growth that trailed expectations and lagged larger rival Titan.
However, Citi's reaffirmation of its bullish stance has helped revive investor sentiment, with the market shifting its focus towards Kalyan Jewellers' expansion strategy, improving operating metrics and long-term growth prospects
