ITC Share Price: After trading in a limited range for a long time, the shares of ITC Limited are seeing a steady rise since the last week of February. The price of a share of ITC was Rs 208.50 on NSE on 24 February 2022, which rose to Rs 273.15 during the day’s trading today. This is the new high of 52 weeks for ITC shares. In this way, ITC shares have given 31 per cent returns to their investors since February 24. According to stock market experts, ITC shares are expected to continue their upward trend.
Talking on the rally in ITC shares, Rohit Singre of Bonanza Portfolio said, “The rally in ITC shares has helped the stock to give a fresh breakout at Rs 263 level. The stock is in bull run and close to Rs 300 level. It may go up to this level. After that, there may be some resistance. Investors who have invested in this stock are advised to hold it further.”
Brokerage firm Edelweiss Wealth Research has also advised ‘Buy’ on ITC shares and expects it to go up to Rs 450 level in the long term. The brokerage said in its note, “We expect its cigarette sales to grow at 5 per cent per annum during FY 2022 to 2024. The EBITDA margin of its FMCG business is expected to be in the single high digits. While its hotels, The paperboard and agri-commodities business is expected to revive. Due to all this, the company’s revenue is expected to grow at 12 per cent annually during the financial year 2022 to 2024, as compared to just 7 per cent in the last five years.
Also read- Steel stocks got wings, know from experts whether this flight will continue even further
Edelweiss Wealth Research said that even on the chart pattern, ITC shares are looking very strong or they are expected to rise further from here. The brokerage said in its report, “The stock is showing strong signs of trend reversal. The stock has given strong performance in its sector. Moreover, its sentiment on the ratio chart indicates that it is now trading at its base. It has been done, now from here we will see strong outperformance.
The brokerage further added, “Other technical indicators are also indicating that the stock has reversed trend and may see the start of a super bull cycle.”
country’s largest cigarette company
ITC is one of the largest consumer companies in the country, whose business is spread across the categories of cigarettes, hotels, paper and agricultural items. It is the country’s largest cigarette company and the country’s second largest FMCG company. The company holds about 78 percent of the cigarette market. The company is also in the paperboard, printing and packaging business, earning Rs 4,549 crore in FY21. At the same time, the income of the company’s agri business has been Rs 8,001 crore.
Disclaimer: The views expressed on moneycontrol.com are the personal views of the experts. Website or Management is not responsible for this. Moneycontrol advises users to always consult a certified expert before taking any investment decision.