ITC slips 3% post Q4 results. Can the stock enter a prolonged bear phase?

Analysts remain cautious on cigarettes and hotels businesses in the medium term. On the techncial charts, the stock is in the process of forming an 'Island Reversal Pattern'

Shares of ITC dipped 3 per cent to Rs 209.35 on the BSE in intra-day trade on Wednesday, after the company reported in-line results for the March quarter, although, analysts remained cautious on the cigarettes and hotels businesses in the medium-term.

In March 2021 quarter (Q4FY21), ITC’s consolidated revenues grew 24 per cent year-on-year (YoY) to Rs 14,157 crore, led by a 14.2 per cent growth in the cigarettes business, 15.8 per cent growth in the fast-moving consumer goods (FMCG) business and 13.5 per cent growth in the paperboard business. Consolidated profit after tax (PAT) fell 1.3 per