How to trade ITC stock post Q4 results? Here's what chart suggests

Ajit Mishra of Religare Broking flags that ITC's overall chart structure remains negative, and the stock is likely to consolidate further in the near-term.

ITC stock slipped 1.8 per cent to an intraday low of ₹302.25 in Friday's trade as the stock reacted to its Q4 results. At 11 AM, the stock traded with a loss of 1 per cent at ₹304.  Ajit Mishra of Religare Broking believes today's ITC price reaction was due to the cautious future guidance given by the company's management.  "The management has guided for a possible weakness in earnings owing to the El Nino factor and the stock seems to be reacting to it," says Ajit Mishra, SVP, Research at Religare Broking.  On the NSE, ITC has declined 3.4 per cent thus far in May, and has shed as much as 24 per cent thus far this calendar year. In comparison, the NSE Nifty has slipped 1 per cent and 9 per cent in the same comparable period. 

ITC stock on charts

  ITC stock has been struggling below its 20-day moving average (20-DMA) since May 11. At current levels (₹303.5) the stock is seen testing the 50-DMA on the daily chart. 

 

 

 The above chart shows that post January 1, 2026, following the massive fall after a steep GST hike to 40 per cent, the stock has consistently traded below its long-term moving averages—both 100-DMA and 200-DMA.  Ajit Mishra highlights that despite the recent bounce from levels of ₹287 to ₹310-odd levels, the overall texture for ITC remains negative.  The analyst expects the stock to further consolidate, likely in the range of ₹280-330 in the coming months. Mishra expects the downside in ITC to be capped around ₹280-₹290 for now.     

ITC Q4 earnings snapshot

  The FMCG giant ITC reported a 6.1 per cent year-on-year (YoY) growth in Q4 consolidated net profit at ₹5,469.74 crore for the quarter ended March 2026, primarily led by cigarettes and non-tobacco products portfolio. ITC's consolidated revenue grew by 16.9 per cent YoY to ₹23,821.48 crore.  For the financial year ended March 2026 (FY26), the company's net profit was up 4.9 per cent YoY at ₹21,018.15 crore, backed by a 10.2 per cent rise in gross revenue at ₹89,913.33 crore. READ MORE  Brokerages, however, have maintained a positive outlook on the stock but flagged concerns about cigarette volume growth. ICICI Securities has an 'Add' rating on ITC with target price of ₹350 per share. READ MORE  Disclaimer: The views expressed by the brokerage/ analyst in this article are their own and not those of the website or its management. Business Standard advises users to check with certified experts before taking any investment decisions.