- Kalyan Jewellers shares fell up to 2.65% after a six-session winning streak on July 16
- The stock rally added over Rs 20,000 crore to market cap after a strong Q1FY27 business update
- Momentum indicators entered overbought zone, raising chances of near-term profit booking
After a six-session winning streak, Kalyan Jewellers shares came under selling pressure on Thursday, July 16, with the stock falling as much as 2.65% to an intraday low of Rs 533.90 per share.
At 10:50 am, the stock was trading 2.32% lower at Rs 535.70 apiece, even as the BSE Sensex was up 0.36% at 77,464.
The decline comes after the jewellery retailer witnessed a sharp rally over the past six trading sessions, driven by its strong June quarter (Q1FY27) business update. The rally added over Rs 20,000 crore to the company's market capitalisation.
Why The Fall?
According to Ravi Singh, Chief Research Officer at Master Capital Services, Kalyan Jewellers' recent six-session rally was driven by its strong Q1 business update, which added over Rs 20,000 crore to the company's market capitalisation. However, he believes the broader trend remains cautious as the stock is still trading below its previous highs.
"The recent rally appears to be more of a relief rebound after a prolonged correction rather than the beginning of a fresh long-term uptrend," Singh said.
From a technical perspective, Singh noted that the stock has broken above its falling trendline with strong volumes. However, momentum indicators have entered the overbought zone following the sharp rise, increasing the possibility of profit booking in the near term.
He added that unless the stock sustains above the Rs 550-560 zone with continued buying support, the recent gains could lose steam, making a pullback towards the Rs 480 level a likely scenario over the coming sessions.
Independent market analyst Ambareesh Baliga also advised investors to lock in gains after the recent rally.
"After the recent run-up, it's a good time to book some profits. Investors should avoid getting carried away by greed, as it seldom ends well in the markets," Baliga said.
Strong Q1 Business Update
Kalyan Jewellers had earlier reported a robust business update for the June quarter, with consolidated revenue rising around 38% year-on-year. Its India business also posted nearly 38% growth despite the 28-day Adhik Maas period, which typically impacts wedding-related jewellery purchases.
Same-store sales growth stood at approximately 28%, reflecting healthy demand across existing stores.
The company's "Shine with India" gold exchange programme remained a key growth driver, with recycled gold contributing more than 46% of total revenue during the quarter. The share rose above 55% in June, highlighting increased customer participation.
International Business, Candere Deliver Strong Growth
Kalyan Jewellers' international operations recorded around 35% year-on-year revenue growth, while its Middle East business grew nearly 30%, despite softer customer footfalls in April due to geopolitical uncertainties. Overseas operations accounted for about 14% of consolidated revenue during the quarter.
Its digital-first jewellery brand, Candere, continued to outperform, reporting 112% year-on-year revenue growth.
Store Expansion Continues
The company expanded its retail footprint during the quarter by opening 12 Kalyan showrooms and five Candere stores in India.
As of June 30, 2026, Kalyan Jewellers operated 524 showrooms globally, comprising 354 Kalyan stores in India, 129 Candere outlets and the remaining stores across international markets.
The company said it entered the current quarter on a strong footing and remains optimistic about growth, supported by planned store additions, new product launches, and demand from the upcoming festive and wedding season.
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