ITC Stock Surges 2% as Core Business Grows

Business by 2FIRSTS.ai

Jul.10.2024

ITC Stock Surges 2% as Core Business Grows

ITC stock reaches 5-month high, up 2% in Tuesday trading on stable growth expectations in cigarette and FMCG sectors.

According to a report by Business Standard, the stock of ITC (an Indian conglomerate with most of its revenue coming from tobacco products) rose by 2% in Tuesday's trading session, reaching a five-month high of 454.05 Indian Rupees (approximately $5.44). The increase is attributed to expectations of stable growth in its cigarette and fast-moving consumer goods (FMCG) businesses.

Since last week, ITC's stock price has risen by 7%, exceeding the 6% increase of the BSE Sensex, India's Mumbai sensitive index. Currently, the company's stocks are trading at their highest point since January 29, 2024; it is reported that the company reached its peak on July 24, 2023 at 499.60 rupees (approximately 5.98 US dollars).

In the fiscal years of 2023 and 2024, ITC's cigarette business saw a recovery, with cigarette sales volumes remaining largely stable compared to its highest sales volume in fiscal year 2013. Stable tax measures and various government initiatives to combat illegal cigarettes have supported the legal cigarette market.

According to Motilal Oswal Financial Services, an Indian financial services company, based on the stable macroeconomic environment and tax conditions, it is predicted that for the fiscal years 2024-2026, ITC's revenue will have a compound annual growth rate of 6.5%, cigarette sales volume will have a compound annual growth rate of 3.5%, and Earnings before Interest and Taxes (Ebit) will increase by 6.5%.

References:

[1] ITC stock extends rally into 5th day, hits 5-month high; up 7% in 1 week

Also Read:

[1] Indonesia Government Targets Tobacco Control Through Tax Adjustment

[2] South Korean Tobacco Company KT&G to Halt "ESSE Change Icefall"

[3] EU Tobacco Policy: Balancing Prevention and Innovation in Smoking

[4] Smoking epidemic in Tunisia: Urgent need for action

#Traditional tobacco #Asia #India #Market

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn

Notice

1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

Copyright

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

AI Assistance Disclaimer

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Chonburi Police Raid Major E-Cigarette and Vape Liquid Warehouse Worth Over US$920,000

Thailand Chonburi provincial police, in coordination with multiple agencies, raided a large-scale warehouse in downtown Chonburi used for producing and distributing e-cigarettes and vape liquids. Two Chinese nationals were arrested, and more than 40 categories of contraband—including vapes, e-liquids, and production equipment—were seized, with an estimated total value exceeding US$920,000 (about 30 million Thai baht).

Nov.17 by 2FIRSTS.ai

R.J. Reynolds Seeks Dismissal of “Carbon Neutral” Lawsuit over Vuse E-Cigarette Claims

R.J. Reynolds Vapor Co. has moved to dismiss a class-action lawsuit alleging false “carbon neutral” claims for its Vuse e-cigarettes, arguing its statements were based on independent certifications from Verra and Vertis, not misleading consumers.

Oct.23 by 2FIRSTS.ai

Ukraine Military Voices Concern Over Potential Vape and Pouch Ban

Verkhovna Rada is reviewing six bills to regulate new nicotine products such as pouches and vapes. The main bill, No.14110, proposes a total ban on production, import, and sale, while alternative proposals seek regulation instead of prohibition.

Nov.10 by 2FIRSTS.ai

Argentine province of Santa Fe passes bill expanding smoking regulations to include e-cigarettes and heated tobacco products

The Santa Fe Provincial Chamber of Deputies has passed a bill amending the 2005 Provincial Anti-Smoking Law (No. 12,432) to include e-cigarettes, vaping devices, and heated tobacco products. Lawmaker Sonia Martorano, who authored the initiative, said the reform aims to strengthen prevention policies amid growing youth use, stressing that “even without nicotine, these devices are toxic.”