Titan shares slide 6% after Modi’s gold buying appeal

What triggered the sell-off in jewellery stocks

Jewellery stocks sold off sharply in Monday’s session after Prime Minister Narendra Modi urged citizens to avoid buying gold and gold jewellery for weddings for the next one year. The appeal was framed as part of a wider set of measures to conserve fuel and foreign exchange reserves at a time of global disruptions. Investors read the comments as a potential near-term headwind for jewellery demand, especially with gold prices already elevated.

The selling was broad-based across listed jewellers and gold-related names, even though several companies had just reported strong March quarter numbers. Market participants also linked the reaction to concerns around India’s import bill, because gold and crude oil are large contributors to imports and foreign exchange outflows.

Titan share price today: key levels and intraday moves

Titan Company shares were among the most tracked names during the fall. The stock slipped more than 6% in early trade, reacting primarily to the demand-side uncertainty rather than its quarterly performance.

During the session, Titan dropped 6.28% to ₹4,230, down ₹283.40 from the previous close of ₹4,513.40. The stock opened at ₹4,350 and touched an intraday low of ₹4,220. In other updates during the day, Titan was also reported trading around ₹4,224.45 and, at another point, about 7.95% lower at ₹4,150.10.

Other jewellery stocks: losses spread across the sector

The decline was not limited to Titan. Multiple reports showed heavy selling in listed jewellers, with some counters falling close to 10% or more. In BSE intra-day trade, jewellery stocks were reported falling up to 12% on slowdown concerns.

Senco Gold was among the worst hit, with reports of the stock falling around 9% to about ₹333 and also being down 10.55% at ₹326.85 at one point. Kalyan Jewellers was reported down around 8% near ₹389, and later trading over 9% lower at ₹385.10 in another update. Sky Gold and Diamonds slipped about 12% to ₹475 amid heavy volumes.

The broader message: forex outflows, crude prices, and imports

PM Modi’s remarks were linked to a wider appeal focused on conserving foreign exchange and energy. In Hyderabad, he urged people to reduce fuel usage and avoid buying gold for weddings for one year. He also advocated steps such as returning to work-from-home and holding virtual meetings where possible, and reducing non-essential travel including international trips.

The remarks came amid references to pressure from rising global crude oil prices and foreign exchange outflows, with the broader backdrop described as a global energy shock driven by tensions in West Asia and disruptions around the Strait of Hormuz. The immediate market interpretation was that a public call to restrain gold buying could affect sentiment in a category closely tied to weddings and discretionary spending.

Gold imports in focus: why the macro angle matters

The sell-off also played into existing concerns about gold imports. According to Reuters, gold imports in April may decline to the lowest level in almost three decades after banks faced an unexpected tax demand.

India remains the world’s second-largest consumer of gold and imported an average of 60 tonnes per month during FY26, translating into a monthly import bill of nearly $1 billion, according to the same Reuters-linked data cited in the report. With crude prices elevated, the combined impact of oil and gold imports is closely watched for its effect on the rupee and external balances.

Fall despite strong Q4FY26 results from Titan

The sharp move in Titan also stood out because it came immediately after strong Q4FY26 earnings. Titan reported consolidated net profit of ₹1,179 crore in Q4FY26, up 35% from ₹871 crore in Q4FY25. Total income rose 46% year-on-year to ₹20,300 crore from ₹13,891 crore, while EBIT increased 28% to ₹1,875 crore from ₹1,470 crore.

Titan also disclosed that its jewellery portfolio grew 50% to ₹18,195 crore in the March 2026 quarter, excluding bullion and digi-gold sales. The watch business reported total income of ₹1,222 crore, up 8% year-on-year, and EBIT of ₹143 crore with an 11.7% margin. Domestic eyecare reported total income of ₹227 crore, up 17% year-on-year, and EBIT of ₹21 crore with a 9.2% margin.

Peer earnings: Kalyan’s March quarter profit also rose

Kalyan Jewellers also reported strong Q4FY26 performance. Its net profit more than doubled to ₹409.5 crore for the quarter, as cited in the report.

Despite these numbers, trading action suggested that investors were prioritising the risk of near-term demand disruption over the reported quarterly performance.

What brokerages and management commentary indicated

A note cited from ICICI Securities said Titan’s management highlighted that consumers are preponing gold purchases in anticipation of higher gold prices, and buyer growth is expected to sustain in the mid to high single digit range ahead. The note also said Q1FY27 and Q2FY27 were expected to continue benefitting from gold prices in terms of revenue, while guidance for the second half would be monitored.

Separately, Morgan Stanley said Titan’s jewellery business delivered top-line and margin performance that exceeded expectations in the March quarter, adding that elevated gold prices supported ticket-size expansion and wedding-related purchases. Morgan Stanley also noted that the overall earnings miss was largely due to higher losses in emerging and international businesses. Management reiterated guidance of 15-20% CAGR in jewellery revenue over the next 3-5 years, and another section of the report cited guidance of 15-20% revenue CAGR over the next 3 years.

Market context: broader indices were also weak

The sell-off in jewellers played out amid a weak broader market tape. Reports cited that the Sensex fell 1,045 points and the Nifty declined 298 points on May 11, while the Nifty Consumer Durables index fell over 3% amid sectoral declines.

This matters because jewellery retailers tend to be sensitive to both consumer sentiment and macro headlines, and the day’s trade combined both sector-specific and index-level risk-off cues.

Key data points at a glance

Titan Q4FY26: headline financials and segment details

Why the event matters for investors

The key issue for investors is the intersection of demand sentiment and macro stability. A public appeal to defer gold purchases, especially in the wedding context, can influence near-term footfalls and purchasing decisions in a category where timing and sentiment matter.

At the same time, the comments were positioned as part of a broader effort to reduce pressure on foreign exchange reserves at a time when crude prices are elevated and geopolitical uncertainty is in focus. That macro linkage helps explain why the market reaction was swift, even as company earnings indicated strong Q4FY26 execution for leading players.

Conclusion

Jewellery stocks fell sharply on Monday after PM Modi’s one-year gold buying restraint appeal, as the market weighed the risk of softer near-term demand against strong March quarter earnings. Investors will track how consumption trends and gold import dynamics evolve, alongside any further signals on conservation measures and the macro environment.