Despite a slight dip in its share price during Thursday’s trading session, ITC, one of India’s leading FMCG companies, continues to be an attractive investment option for traders and investors. With the impending declaration of its interim dividend for the financial year ending on March 31, 2024, ITC presents an opportunity for substantial returns.
Experts suggest that short and mid-term traders should wait for ITC’s share price to break the resistance range of Rs 465 to 470 before considering fresh buying. However, for those with a long-term perspective, it is advisable to consider buying in the range of Rs 390 to 435, investing in parts as the price appreciates. The current price marker stands at Rs 455, making it a good time to evaluate the buying range.
Market analysts predict that investors could expect targets in the range of Rs 510 to 700 with a stop loss at Rs 370, provided they hold their investment for a period of 3 months to 1.5 years. These projections highlight the growth potential of ITC in the coming years.
In terms of dividends, ITC has a strong track record. In 2023, the company announced dividends amounting to Rs 15.5, adding to the Rs 11.5 distributed in 2022. Its dividend yield, based on the current market price, stands at an impressive 2.80% for the last 12 months.
While Thursday’s trading session saw a decline in ITC’s share price, it must be noted that the company has delivered significant returns over the past three years, with a remarkable gain of 119.55%. With a market cap of Rs 5,68,262.28 crore, ITC remains a key player in the market.
As always, it’s important to consider expert advice, but also remember that investment decisions should be made with careful evaluation of personal risk appetite and financial goals. While ITC holds promise and potential, it’s essential to conduct thorough research and analysis before making any investment decisions.
Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the views of ITC or TN Network. Investment in the stock market carries its own set of risks, and readers are advised to make investment decisions based on their own judgement.
FAQ:
1. Why is ITC considered an attractive investment option?
– ITC is considered an attractive investment option due to its impending declaration of an interim dividend for the financial year ending on March 31, 2024, which presents an opportunity for substantial returns.
2. What is the recommended approach for short and mid-term traders interested in investing in ITC?
– Experts recommend that short and mid-term traders should wait for ITC’s share price to break the resistance range of Rs 465 to 470 before considering fresh buying.
3. What is the recommended approach for long-term investors interested in investing in ITC?
– For long-term investors, it is advisable to consider buying in the range of Rs 390 to 435, investing in parts as the price appreciates.
4. What price is ITC’s shares currently trading at?
– The current price of ITC shares is Rs 455.
5. What targets could investors expect for ITC?
– Market analysts predict that investors could expect targets in the range of Rs 510 to 700 with a stop loss at Rs 370, provided they hold their investment for a period of 3 months to 1.5 years.
6. What is ITC’s dividend yield?
– ITC’s dividend yield, based on the current market price, stands at an impressive 2.80% for the last 12 months.
7. What has been ITC’s track record for dividends?
– In 2023, ITC announced dividends amounting to Rs 15.5, adding to the Rs 11.5 distributed in 2022.
8. What has been ITC’s market performance in the past three years?
– ITC has delivered significant returns over the past three years, with a remarkable gain of 119.55%.
9. What is ITC’s market capitalization?
– ITC has a market cap of Rs 5,68,262.28 crore, making it a key player in the market.
Definitions:
– FMCG: Fast Moving Consumer Goods.
– Interim Dividend: A dividend paid to shareholders in the middle of a financial year, before the company’s annual accounts have been finalized.
– Resistance Range: A price range at which selling pressure is expected to outweigh buying pressure, causing the share price to halt or retrace temporarily.
– Stop Loss: A predetermined price level at which an investor will exit a trade with a loss in order to limit potential losses.
– Dividend Yield: A financial ratio that indicates the percentage return on a stock investment through dividends.
– Market Cap: Market capitalization, which represents the total value of a company’s outstanding shares in the market.
Related links: