ITC _Making of an Indian FMCG Giant

Discussion in 'Ask A Query About Your Stock Picks And Portfolio' started by kharb, Jul 3, 2017.

  1. kharb

    kharb Well-Known Member

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    ITC continue to out perform nifty and has history of rewarding its share holders and I am fortunate to be among one of them.It seems that dream run may continue for some more years and its FMCG business may cross 100000 Crore in future. More over it is multiple play on hotels,Agri ,paper in addition to Cigrate.In my view it is a must have stock for those conservative investers who want Nifty plus steady out performance .This is no advice to buy but just for discussion among members .
     
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  2. w4wealth

    w4wealth Well-Known Member

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    itc also diversifying into diary industry in big way. in my view it is a stock to hold for the dear life since you are a early buyer.:):)
     
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  3. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    Sooper call heavy gains are there from blue chip stock.

    ICICI has recommended buy with TP Rs. 407.

    "ITC Ltd (ITC)

    Eliminating ‘ Tax o n Ta x’…

    With the clarity emerging on new indirect tax rates on cigarettes, we
    believe net tax incidence on ITC would come down by 4.5% mainly due
    to elimination of cascading effect of taxes. Considering anti profiteering
    clause in place cigarettes prices are likely to come down by 2.5%. After
    five consecutive year of increase in duties & taxes on cigarettes, GST
    implementation has come as advantage for cigarettes companies. We
    believe the company would continue to concentrate on low priced (64 &
    69 mm) cigarettes to derive higher volume growth. Notably 64 mm
    category volume contribution has increased from ~20% to ~32% in last
    one year. We have built in 4% volume growth for the FY18E and 5% price
    hikes as the company has increased prices earlier this year to the tune of
    11-14% on above 69 mm portfolio. We remain positive on the stock and
    raise our target price to | 407 per share."
     

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  4. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    stock is shooting down. heavy loss is there. 13% :(
     
  5. wild_hipman

    wild_hipman Active Member

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    Indeed the dream_run will continue!!!!!


    upload_2017-7-18_10-23-24.png
     
  6. Kritesh Abhishek

    Kritesh Abhishek Member

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  7. wild_hipman

    wild_hipman Active Member

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    Is the dream run is over for ITC ??? The subject line stands changed from ITC_dream run to continue to making of an Indian FMGC

    It must surely hurt to have egg on your face when strong belief's in a share crash like a house of cards (in just one stroke)
     
  8. Ravikumar

    Ravikumar Active Member

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    This is a temporary glitch in ITC. ITC will come back. It is investing heavily in FMCG space and it is close to market leader within short span of time. When it comes to stationaries, I always remember Classmate as my first choice. Such is the impression and quality of the company. Good time to accumulate this giant.
     
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  9. kharb

    kharb Well-Known Member

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    ITC may make new life time high in this calender year and I shall be surprised if did not trade above 400 in next one year. Least expensive FMCG blue chip large cap stock and I am invested in it. No recommendation but for discussion
     
    Last edited: Aug 30, 2018
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  10. Pee Vee

    Pee Vee New Member

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    ITC is an excellent stock. It is up 19% in the CY and has outperformed the 12% rise in the Nifty.

    The valuation discount to its FMCG peers and efforts to shift focus towards other business verticals appear to have made the stock to be in demand.
     
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  11. kharb

    kharb Well-Known Member

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    ITC is relatively fairly priced in FMCG space and I assume it's other divisios like hotel,paper may also be doing well.Contribution to profit share of FMCG will start increasing in future.I am invested in this stock in anticipation of satisfactory return for next few years.No recommendation but for discussion.
     
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