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Jewellery · Stock deep dive · NSE: TBZ

TBZ under GRT: store productivity and valuation

GRT Jewellers is taking control of the 162-year-old Mumbai jeweller. This page sets out what GRT could change, what it probably can't, and how much of the change the market price already assumes.

Price₹673
Market cap₹4,486 Cr
P/E (TTM)21.1x
TTM EPS₹32
Deal price (promoters)₹209
Open offer₹249.61

The short version

GRT and TBZ side by side

FY25–26GRT Jewellers (unlisted)TBZ
Stores66, of which 70%+ of revenue from Tamil Nadu37 in 28 cities, mainly Maharashtra and Gujarat
Revenue₹41,246 Cr (FY25, operating income)₹3,203 Cr (FY26)
Sales per store₹500–650 Cr~₹87 Cr
Operating margin3.9% (FY24), 7.0% (FY25)6% (FY24), 11% (FY26)
Net margin~2–3% in normal years~6% (FY26)
Gold fundingGold metal loans backed by ₹7,500 Cr+ of fixed depositsBank debt of ~₹886 Cr at ~9%
Credit ratingAA- (ICRA)–
Gold volume−11% (FY25), about −18% (FY26)n/d

GRT's per-store range depends on whether total operating income or jewellery revenue alone is used. GRT's own volumes are falling, so its recent growth also comes from the gold price.

Three levers, in order of confidence

LeverWhat changesConfidence
FundingMove TBZ's inventory funding onto GRT-style gold metal loans; ~₹25–35 Cr a year of pre-tax savingsHigh
Design exchangeTBZ studded and jadau lines into GRT's stores (GRT's studded share is low); GRT's temple and plain-gold designs into TBZ's western storesMedium
Store productivityMerchandising, gold-scheme know-how and faster stock turns (TBZ holds ~249 days of inventory)Low: treat any convergence as upside

TBZ's own track record

Growth (CAGR)10 years5 years3 yearsTTM
Sales7%19%*10%29%
Net profit25%36%71%189%

*Flattered by a COVID-hit FY21 base. Profit has grown much faster than sales through higher margins. FY26 sales rose 22% and margins stepped up before GRT arrived, but part of FY26's margin came from rising gold prices.

Valuation arithmetic: four years out

EPS after four years at three profit-growth rates, multiplied by a P/E multiple. Profit growth in the middle case (20% a year) is below every historical profit-growth figure above. Multiples are held at 13–19x, well below Kalyan (40x) and Titan (74x), because TBZ has not shown their scale or growth.

ScenarioSales growthProfit growthEPS (year 4)P/EImplied valuevs ₹673
Cautious12%11%₹4613x₹593−12%
Middle17%20%₹6416x₹1,018+51%
Strong22%29%₹8519x₹1,613+140%
Open-offer price (reference)––––₹250−63%

This table is arithmetic on stated assumptions, not a price target or forecast. Spread over four years, the middle case works out to roughly 11% a year from today's price.

What today's multiples imply

Multiple on TTM EPS ₹32P/EImplied valuevs ₹673
Low-multiple jewellers13–15x₹416–480−38% to −29%
Listed-jeweller median17x₹544−19%
High-growth jewellers (Kalyan, Thangamayil)40–42x₹1,280–1,344+90% to +100%
Titan77x₹2,464+266%

At 21x, TBZ already trades above the sector median. Most of the further gap to higher multiples has to come from earnings actually growing, not from the multiple alone.

Risks and what to watch

See TBZ against nine listed peers in the Jeweller Peer Scorecard →

Data. Based on publicly available information: company filings, credit-rating reports, open-offer documents, exchange disclosures and market data, as of 25 Sep 2026. Scenario figures are calculations on the stated assumptions.

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