ITC gained 2.38% to Rs 332.75 at 11:40 IST on BSE after reports that a foreign brokerage has maintained its 'outperform' rating on the stock.
Meanwhile, the BSE Sensex was up 151.69 points, or 0.61%, to 25,104.43.
On BSE, so far 2.48 lakh shares were traded in the counter, compared with an average volume of 5.21 lakh shares in the past one quarter. The stock hit a high of Rs 336.10 and a low of Rs 326.10 so far during the day. The stock hit a 52-week high of Rs 359.75 on 26 October 2015. The stock hit a 52-week low of Rs 268 on 29 February 2016. The stock had outperformed the market over the past one month till 18 March 2016, rising 6.57% compared with 5.51% gains in the Sensex. The scrip had also outperformed the market in past one quarter, gaining 2.44% as against Sensex's 2.22% fall.
The large-cap company has an equity capital of Rs 804.72 crore. Face value per share is Re 1.
A foreign brokerage reportedly reasoned for its maintaining the outperform rating on the stock that most states have not hiked value added tax (VAT) on cigarettes in their Budget for the year ending 31 March 2017 (FY 2017). According to the brokerage firm, FY 2017 is likely to see one of the lowest VAT hikes on cigarettes in the past five years.
Meanwhile, ITC's executive director Sanjiv Puri was quoted as saying that the sales of the company's instant noodles brand Yippee have been recovering and its market share has risen to between 30% and 40% from 20% in the aftermath of Maggi noodles controversy.
ITC's net profit rose 0.7% to Rs 2652.82 crore on 3.4% growth in net sales to Rs 9102.66 crore in Q3 December 2015 over Q3 December 2014.
ITC is a diversified company, with presence in cigarettes, hotels, paperboards & specialty papers, packaging, agri-business, packaged foods & confectionery, information technology, branded apparel, personal care, stationery and other FMCG products. ITC is a market leader in cigarettes.
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