ITC share price hit a fresh record high of Rs 442.45 on NSE today (May 25), sustaining a strong momentum since the announcement of its Q4FY23 earnings on May 18.
ITC stock has rallied for five consecutive trading sessions and gained 6% during this time, compared to just 0.52% rise in benchmark Nifty50. ITC share price has gained 70.41% from 52-week low of Rs 258.6, hit on June 17, 2022.
ITC was one of the top gainers in the Nifty50 pack, with only Bajaj Auto and Bharti Airtel ahead of it in terms of advances. The stock today surpassed the price target of Rs 440 set by BoFA after the company announced its Q4FY23 earnings.
ITC shares have given returns of more than 60% over the last 1 year, outperforming Nifty50 which has rallied around 13% during this period. In the last six months, ITC stock has jumped nearly 30%.
In terms of technicals, the relative strength index (RSI) of ITC stands at 66.3, signalling that the stock is neither overbought nor oversold. Its one-year beta is 0.6, implying low volatility in share price. The stock is trading higher than its 5-day, 10-day, 50-day and 100-day, and 200-day moving averages.
Brokerage firm Nuvama has retained its 'Buy' rating on ITC shares with a SoTP-based target price of Rs 500. This implies an upside of 13% as compared to today's intraday high of Rs 442.
Prabhudas Lillader has an 'Accumulate' call on the stock with a target price of Rs 455. According to PL analysts, ITC's Hotel outlook is positive due to G20 & revival in business and foreign tourist travel. "While near-term outlook is strong, we estimate 10.7% EPS CAGR over FY23-25," it said, adding that ITC has scope to increase cigarette profitability.
Motilal Oswal has a 'buy' rating on ITC stocks with a target price of Rs 485. "With no material increase in cigarette GST/national calamities duty in the recent budget, the volume growth outlook remains healthy," it said, adding that ITC’s earnings visibility remains better than peers.
Brokerage firm Sharekhan also has a 'buy' call on ITC stock. It expects the company to maintain the double-digit earnings growth with with consistent improvement in margins led by uptick in the consumer demand and favorable business environment for the hotel business. "This along with discounted valuation to peer makes it a good fit in the large cap FMCG space," it said.
Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of Business Today. Investors should consult their financial advisors before taking any position.