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The Kalyan Jewellers Share fell ~9–10% despite a strong +31% YoY revenue print because gross margins softened as the faster-growing franchise (FOCO) network diluted the overall mix. The 5-year trend is still firmly up, but the chart shows a cooling phase after last year’s peak. Brokerages (Citi, Motilal Oswal) stay constructive with upside cases toward ₹700, contingent on execution and margins stabilising.

5-year price & volume of Kalyan Jewellers Share

• Powerful uptrend since mid-2023: Kalyan Jewellers Share price ground sideways for ~2 years post-listing, then accelerated through 2023–24.
• New highs in late-2024 (roughly the ₹750–₹800 zone), followed by a sharp drawdown in early-2025—note the massive volume spike then, typical of distribution/capitulation.
• 2025 so far: A broad range trade with higher lows; rallies are capped around ₹600–₹620, while buyers show up near ₹500–₹520.
• This week’s selloff (~9.4%) pushed price back toward mid-range, not a trend break yet.

Read: price leadership intact on a 5-yr view, but the stock is consolidating gains and reacting to margin/policy headlines.

What spooked the market despite 31% revenue growth?

1. Mix-led margin compression
   • FOCO expansion (franchisee-owned, company-operated) is asset-light and ROCE-friendly, but gross margin per store is thinner than company-owned. As FOCO’s share climbs, reported gross margin naturally softens.
2. Expectation reset
   • Street was positioned for strong revenue and steady margins. When margin quality misses, high-growth retail names typically de-rate near term.
3. Gold price volatility
   • Elevated/whippy gold prices often skew product mix toward lighter pieces and can delay wedding purchases, pinching studded mix and margin.

Expansion math: near-term pressure, long-term tailwind

• 170 stores in FY26 (aggressive) with FOCO focus:
  • Pros: Faster market capture, lower capex per store, quicker payback, better ROCE profile.
  • Cons: Lower gross margin %, higher dependence on franchise discipline, and a few quarters of operating-leverage lag as new stores ramp.

Net-net: If unit economics hold and franchise compliance remains tight, earnings compounding can re-accelerate after the ramp period.

Technical View of Kalyan Jewellers Share

• Support: ₹500–₹520 (demand showed up there multiple times).
• Resistance: ₹600–₹620, then ₹680–₹700 (brokerage target zone).
• What to watch: A daily/weekly close back above ₹620 with healthy volumes would signal the next leg up; a close below ₹500 risks a deeper pullback toward the low-₹400s.

Kalyan Jewellers Share Valuation & peers (high level)

• Kalyan typically trades at a discount to Titan on P/E but a premium to small regional players given national brand, scale, and formalisation tailwinds.
• With margins under scrutiny, the market will reward same-store sales, studded mix recovery, and cash conversion more than raw store-count growth.

Investment take: How to approach Kalyan Jewellers shares now

For long-term investors (12–24 months):

• Consider accumulating on dips into ₹520–₹560, staggered in tranches.
• Thesis: FOCO-led scale + formalisation + brand salience should support earnings CAGR once store cohorts mature and mix normalises.

For swing traders (6–12 weeks):

• Treat ₹600–₹620 as a pivot.
• Bullish above ₹620 (add on strength), neutral in ₹540–₹600 range, protect with stops if ₹500 breaks on volume.

Clear risks: Prolonged margin pressure from FOCO mix, gold-price volatility, execution risk on 170-store rollout, and any consumer-demand slowdown.

What would change the story positively?

• Visible studded share uptick and gross-margin stabilisation.
• SSSG (same-store growth) holding high-teens despite a big base.
• Working-capital discipline (inventory turns) is improving as FOCO scales.

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Bottom line

The Kalyan Jewellers share remains in a long-term uptrend but is digesting its big rally while the market recalibrates margin expectations. If you believe in the asset-light compounding story and can ride near-term noise, buying in phases on weakness makes sense. If you need quick upside, wait for a clean breakout above ₹620.

Not investment advice. Please consult a SEBI-registered advisor before any investment.

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