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SHUBINVESTS I SEBI RA

24th May 2025 · SEBI-Registered Analyst

A Diamond Is Forever…But What About Its Value?

Back in the day, a diamond ring wasn’t just jewellery. It was a promise of forever—thanks to De Beers’ iconic campaign. But here’s the twist: the value of diamonds hasn’t appreciated in over 22 years. Now in 2025, two very different love stories are unfolding in the diamond world. 🔹 In the U.S., lab-grown diamonds (LGDs) are rising fast—affordable, eco-friendly, and mass-produced. 🔹 In India, the sparkle still belongs to natural diamonds. As per De Beers CEO Al Cook, Indian buyers cherish the uniqueness of natural stones, pushing 12% YoY growth in 2024. Meanwhile, China’s market has halved in size, and LGD prices are crashing—now down to ₹30,000 per carat. Retailers are warning: LGDs may hold no resale value. 🎯 India, however, has outshone China to become the second-largest market globally for natural diamonds, and De Beers is betting big: $10B today, aiming for $20B by 2030. 📈 Indian Stock Market Angle: Meet Titan Company Ltd

TITAN
— India’s largest jewellery retailer and the quiet force behind Tanishq, CaratLane, Zoya, and Mia. Titan is not chasing the lab-grown trend. Why? Because 95% of its sales come from small natural stones—a segment still untouched by LGDs. Titan's management is playing it smart: wait-and-watch, focus on margins, and maintain brand trust. As LGD prices crash, Titan’s patience may shine brighter than any stone. 🎯 Takeaway: India is embracing natural diamonds as a luxury statement, while the U.S. shifts to lab-grown options. This trend could shape future market leaders in India's jewellery sector.

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