ITC Share Price: HUGE demerger impact! Stock experts give 'Share to buy' tag, upgrade target; should you buy?
ITC Share Price: Demerger reports have impacted this company's share price considerably over the last few days. While ITC has chosen not to acknowledge any such thing officially, reports of demerger are refusing to go away.
ITC Share Price: Demerger reports have impacted this company's share price considerably over the last few days. While ITC has chosen not to acknowledge any such thing officially, reports of demerger are refusing to go away. ITC termed such reports as 'speculative'. It is being surmised that it will entail creating of three separate entities - ITC Tobacco, ITC FMCG and ITC Hotels group of companies. This has caused ITC share price to rise sharply. It jumped nearly 4 per cent yesterday. According to stock market experts, ITC shares are expected to rise further as the news is a positive sign for the company. They said that ITC is now in the top 'Shares To Buy' category for long-term and many rating agencies have revised its long-term target to Rs 300 in next 9-12 months.
Speaking on the immediate ITC share price target, Mudit Goel, Senior Research Analyst at SMC said, "ITC share price has resistance at Rs 220 and once it breaks this level then it would soon showcase Rs 235 to Rs 240 levels in the immediate short-term." He said that the rise in ITC share price is mainly due to the demerger talk on Dalal Street.
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ITC Share Price Target
Hailing the ITC demerger news, if it comes to happen, Vikas Sethi, Managing Director at Sethi Finmart said, "ITC demerger is good for both the company and its stock. I recommend stock market investors to buy ITC shares for the target of Rs 300 in the next 9-12 months as demerger is going to happen in at least this much of time period and hence during this 9-12 month time period, the ITC stock is expected to remain in focus with upside bias."
However, Mudit Goel of SMC advised stock market investors to maintain Rs 200 stop loss while taking buy position in ITC stock.
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