ITC AGM, Q1FY24 nos: When will the stock breakout from consolidation mode?

ITC shares have corrected 10 per cent from their record high level of Rs 499.6, hit on July 24, 2023, as investors booked profit post the hotel business' demerger announcement

ITC's "asset-right" strategy, reiterated by Chairman Sanjiv Puri at the company's 112th Annual General Meeting (AGM) on Friday, received a thumbs-up from analysts.  

They, however, believe what's needed for the stock to breakout from the consolidation is the sustained earnings growth and synergies from the demerged hotel vertical.

"The stock is expected to consolidate between Rs 420-450 levels in the near future. However, it will resume its uptrend on the back of earnings visibility, and healthy revenue contribution from FMCG (fast moving consumer goods), hotels, paper, and tobacco segment. ITC remains a long-term bet," said Gaurang Shah, senior vice president,