Khazanchi Jewellers Hits New 52-Week High of Rs.744.7, Marking Strong Market Momentum

Stock Performance and Market Context

On 5 December 2025, Khazanchi Jewellers recorded its highest price in the past year, surpassing previous levels to reach Rs.744.7. This new peak comes after a series of gains, with the stock appreciating by 1.24% over the last three consecutive trading sessions. The price movement occurred within a relatively narrow trading range of Rs.6.7, indicating steady investor interest and controlled volatility.

The stock’s performance today outpaced its sector peers by 0.3%, signalling relative strength within the Gems, Jewellery And Watches industry. Furthermore, Khazanchi Jewellers is trading above all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, which often serve as technical indicators of sustained upward momentum.

Broader Market Dynamics

The broader market environment has also been supportive. The Sensex, after an initial decline of 139.84 points, rebounded to close 0.15% higher at 85,390.62 points. This recovery places the benchmark index just 0.9% shy of its own 52-week high of 86,159.02. The Sensex’s position above its 50-day moving average, which itself is above the 200-day average, reflects a bullish trend that has been led by mega-cap stocks. This positive market backdrop has likely contributed to the favourable conditions for Khazanchi Jewellers’ price appreciation.

Financial Metrics Underpinning the Rally

Khazanchi Jewellers’ financial indicators reveal a strong foundation supporting the recent price gains. The company’s net sales have expanded at an annual rate of 90.30%, while operating profit has grown at 105.40%, signalling robust operational scale and efficiency. Net profit growth stands at 55.45%, reflecting healthy bottom-line expansion.

Quarterly results further highlight this positive trajectory. Profit before tax excluding other income (PBT less OI) reached Rs.31.20 crores, marking an 83.8% increase compared to the previous four-quarter average. Similarly, profit after tax (PAT) for the quarter was Rs.23.55 crores, representing an 85.3% rise over the same period. The company’s profit before depreciation, interest, and tax (PBDIT) also hit a quarterly high of Rs.32.31 crores.

These figures indicate that Khazanchi Jewellers has delivered consistent positive results for two consecutive quarters, reinforcing the momentum behind the stock’s upward movement.

Market Comparison and Valuation Considerations

Over the past year, Khazanchi Jewellers has generated a return of 13.63%, significantly outpacing the Sensex’s 4.44% return and the broader BSE500 index’s 1.68%. This market-beating performance reflects the company’s ability to deliver growth in a competitive sector.

From a valuation perspective, the company’s return on capital employed (ROCE) stands at 20%, indicating efficient use of capital. However, the enterprise value to capital employed ratio is 5.9, suggesting a relatively elevated valuation compared to some peers. The company’s debt servicing capacity is strong, with a low Debt to EBITDA ratio of 1.14 times, which supports financial stability.

Shareholding and Market Participation

Despite its size and performance, domestic mutual funds currently hold no stake in Khazanchi Jewellers. This absence may reflect a cautious stance or valuation considerations among institutional investors who typically conduct detailed on-the-ground research. The limited mutual fund participation contrasts with the company’s strong financial results and market performance.

Summary of Key Price and Performance Indicators

The stock’s 52-week low price was Rs.525.3, highlighting the extent of the recent price appreciation to the current high of Rs.744.7. This represents a substantial price range movement within the year, underscoring the stock’s volatility and growth potential within the Gems, Jewellery And Watches sector.

Khazanchi Jewellers’ consistent gains over the last three days and its position above all major moving averages suggest a sustained positive trend. The company’s ability to maintain this momentum amid a recovering Sensex and a bullish market environment has been a key factor in reaching this new high.

Conclusion

Khazanchi Jewellers’ attainment of a new 52-week high at Rs.744.7 marks a notable milestone in its market journey. Supported by strong financial results, favourable market conditions, and technical indicators, the stock’s recent performance reflects a period of robust momentum. While valuation metrics indicate a premium, the company’s growth rates and debt servicing capacity provide a solid foundation for its current market standing.

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