Gold Stock Up 12% In 3 Days: Emkay Says BUY For Rs 500 TP; Final Dividend On August 20 After 1:2 Split

Senco Gold, a gems and jewelry giant, has skyrocketed by nearly 12% for three consecutive trading sessions. On Thursday, August 14, the gold stock zoomed by over 9%. However, the stock has been in green since August 12th. The bullish trend in Senco Gold emerged due to upbeat Q1FY26 results. Following this, Emkay Global has recommended BUY.

Senco Gold Share Price:

At the time of writing, Senco Gold shares rallied by 6.4% to trade at Rs 360.25 apiece on BSE, with a market valuation of Rs 5,896.61 crore. In the early trade, Senco Gold zoomed by 9.09% to hit an intraday high of Rs 369.45 apiece.

Notably, the stock has been on the rise since August 12th. Taking into consideration the August 14th intraday high, Senco Gold stock has climbed by over 11.55%

Senco Gold Q1 Results:

During Q1FY26, the gems and jewellery giant reported revenue of Rs 1,826.2 crore, the highest ever Q1, marking a substantial growth of 30% YoY and 32.6% QoQ., SSSG Growth was impressive at 19.6%. Non-East revenue contributed 17.5% of total retail revenue. Stud ratio improved from 9.9% to 11.6% YoY, leading to better margin.

Also, the company's Profit After Tax (PAT) surged to Rs 104.6 crore, a phenomenal 102.3% YoY increase, resulting in a 5.7% PAT margin. EBITDA grew to Rs 183.5 crore (EBITDA Margin 10%), with remarkable growth of 68.6% YoY and 44.5% QoQ.

The company has a robust network of over 186 showrooms across 17 states & UTs, including one showroom in Dubai, UAE and 7 Sennes showrooms.

Should You Buy Senco Gold Shares?

Analysts at Emkay Global reiterated their positive stance on Senco, buoyed by leading SSG performance in Q1, growing franchisee interest in non-core territories, and inexpensive valuations. Senco delivered an all-around beat in Q1, with best-in-class SSG at 19% vs 7-18% SSG for peers, and a gross-margin led beat of 300-400bps on EBITDA margin.

In their research report, analysts said, "We also see emerging franchisee traction in non-core regions as a step toward strengthening its position as a pan-India jewellery retail brand; this should help accelerate Senco's asset-light expansion. The company has already added 10 stores in FY26TD, which include 4 COCO and 6 franchisee stores. Post a strong Q1 beat, our estimates are conservative as they factor in the recent margin volatility."

On the valuation, Emkay's analysts said, "We expect Senco to deliver a normalized
revenue/PAT CAGR of 18%/25% over FY25-28E. Senco currently trades at inexpensive valuation of 18x/13x FY27E/FY28E EPS, and we currently have a
BUY on the stock; retain TP at Rs500 (25x Jun-27E EPS)."

Senco Gold Dividends + Stock Split:

In 2025 so far, Senco Gold has rewarded investors with dividends and sub-division.

Stock Split: The company split for the first time in the ratio of 1:2 in January 2025. With effect from January 31, 2025, Senco's face value has been trimmed to Rs 5 from earlier Rs 10.

Dividend: Senco Gold will turn ex-dividend for the first time since its split. The company has announced a final dividend of Rs 1 per share for FY25, and the record date is fixed on August 20, 2025.

About Senco Gold:

Senco Gold Limited is a leading pan-India jewellery retailer with an 85-year heritage and the largest organized retail presence in Eastern India. As of June 2025, its network includes 186 showrooms across India and Dubai, operated through both company-owned and franchisee models. The company offers a vast, design-led portfolio of gold (over 182,600 designs) and diamond (over 104,200 designs) jewellery, developed in-house with local artisans. Senco is a multi-award-winning brand, recognized for customer trust, luxury status, and as a great workplace.

Disclaimer: The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.