Kalyan Jewellers shares zoom to 10% upper circuit. What Motilal Oswal, JM Financial said after Q3 results

Shares of retailer Kalyan Jewellers India hit the ten% upper circuit restrict on BSE, surging to Rs 417.75, because the jewelry retailer’s blockbuster third-quarter earnings triggered a wave of bullish brokerage calls with value targets as excessive as Rs 750, a possible 80% upside from present ranges.

The inventory locked into the circuit after the corporate reported a staggering 90.36% surge in consolidated web revenue to Rs 416.29 crore for the quarter, practically doubling from ₹218.68 crore within the year-ago interval. Income from operations jumped 42.11% to Rs 10,343.41 crore in contrast to Rs 7,278.09 crore final 12 months.

JM Financial leads the Road’s optimism with a Rs 750 value goal, sustaining its BUY score regardless of elevating fiscal 2026-28 earnings estimates by 4-5%. The brokerage minimize its goal price-to-earnings a number of to 40 instances from 45 instances due to larger inventory volatility over the previous six months, however rolled ahead its estimates to December 2027.

“Administration highlighted sustained robust development in Jan’26 within the face of volatility in gold costs, and famous they anticipate to finish FY26 on notice,” JM Financial said in its notice. The brokerage flagged strong same-store gross sales development throughout areas, with India registering 27% year-on-year development and the Center East posting 24% positive factors.

Motilal Oswal set a Rs 600 goal value primarily based on 35 instances December 2027 price-to-earnings, reiterating its BUY score whereas elevating earnings estimates by 3-4% for fiscal 2027-28 on margin enlargement within the third quarter.

“We’re extraordinarily excited with the way in which the present 12 months has progressed to this point. The present quarter has began very properly regardless of the volatility in gold costs,” said Ramesh Kalyanaraman, Govt Director at Kalyan Jewellers India. “We’re upbeat concerning the ongoing wedding ceremony season and anticipate to finish the monetary 12 months on a robust notice.”

Motilal Oswal highlighted the corporate’s profitable franchise scale-up, with the enterprise now contributing over 45% of income, and its enlargement past Southern markets bettering the studded jewelry combine. The asset-light mannequin helps wholesome money stream technology for debt compensation whereas enhancing profitability by means of decreased curiosity prices. The brokerage initiatives 21%/18%/22% income/EBITDA/web revenue compound annual development throughout fiscal 2026-28.The corporate’s digital model Candere turned web profit-positive this quarter, assembly steerage, whereas administration stays on monitor to grow to be web debt-free by end-fiscal 2027 by means of a mixture of non-core asset gross sales and money flows, in accordance to JM Financial.

The regional model is anticipated to open 4 to 5 shops over the following 12 months, with some openings deliberate for the fourth quarter of fiscal 2026.