ITC Share Price: Great Uptrend in ITC shares, Here’s Why the share is at a Three Year High

Fast Moving Consumer Goods (FMCG) giant ITC's stock is climbing with a steady jump. This stock has seen good growth in the year 2022 and in the last 6 days, the stock has seen a rise of 10 percent. Talking about yesterday's business, the share of ITC has come down to Rs 293, which is its highest level since the year 2019.

ITC's stock was trading on the BSE Sensex with a jump of 2 percent yesterday and made a 3-year high of Rs 293. ITC's stock has performed so well in the year 2022 after a slow pace of the last several years that it has shown tremendous growth of 32 percent this year, while the benchmark index Sensex has shown a fall of 11 percent so far this year.

There are some mixed reasons behind the rise in ITC shares. This is also one of the reasons for the good results of this company in the January-March quarter and in this, the company's net profit had come down to Rs 4195 crore with a growth of 12 percent. Whereas in the January-March quarter of last year, its net profit was Rs 3755 crore. At the same time, the company's revenue increased by 15 percent to Rs 17754 crore in the same quarter, which came to Rs 15,404 crore in the same quarter last year.

Recently in June, Motilal Oswal improved its rating by increasing confidence in the stock of ITC and putting it in the category of 'Buy on Demand'. Motilal Oswal in his note said for ITC's share that the hotel business of the company is also showing improvement after the corona pandemic has passed and the FMCG sector which was less affected during the Kovid period - is now growing faster. Healthy outlook margins and better capital allocation in the cigarette business have created good sentiments for ITC's stock and the effect of this is now being seen in the share price.