Current ITC Share Price Analysis
As of September 30, 2023, at 1:00 PM, ITC shares are trading at ₹517.1, reflecting a decline of 1.08% from the previous closing price. The broader market, represented by the Sensex, is also experiencing a downturn, trading at ₹84,595.12, down 1.14%. Throughout the trading day, ITC’s stock recorded a peak of ₹524.25 and a low of ₹516.1, highlighting some volatility in its performance.
Technical Analysis
From a technical standpoint, ITC shares are currently trading above the 10, 20, 50, 100, and 300-day Simple Moving Averages (SMA) but are below the 5-day SMA. This positioning suggests that while the stock maintains a generally positive trend over the longer term, it is facing some short-term resistance. The key support levels are located at the 10, 20, 50, 100, and 300-day SMAs, while resistance can be found at the 5-day SMA.
Support and Resistance Levels
Pivot Level Analysis
According to the classic pivot level analysis, ITC’s stock has significant resistance levels at:
- ₹527.42
- ₹532.08
- ₹535.67
Conversely, the key support levels are found at:
- ₹519.17
- ₹515.58
- ₹510.92
Trading Volume Insights
By 1 PM today, the trading volume for ITC on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) fell by 7.07% in comparison to the previous trading session. Trading volume is an essential indicator for gauging market trends; generally, positive price movements alongside higher volumes may suggest a sustainable upward trend, while negative price movements with high volume could signal further declines.
Overall Market Sentiment
Despite the current dip, technical analysis indicates that ITC is experiencing a strong bullish trend overall. On the fundamentals side, the company boasts a return on equity (ROE) of 28.48%, while the price-to-earnings (P/E) ratio stands at 31.97, indicating a premium valuation compared to the market.
Future Projections
The median 1-year forecast suggests an upside potential of 4.19%, with a target price of ₹538.77, showing the market’s moderate optimism toward ITC shares.
Shareholding Pattern
The promoter holding in ITC is currently at 0.00%, with mutual funds (MF) holding 20.10% and foreign institutional investors (FII) accounting for 14.96%, as per the latest filings from the June quarter. Notably, MF holdings decreased slightly from 20.15% in March, while FII holdings declined from 15.44% to 14.96% during the same period, indicating a cautious sentiment among institutional investors.
Market Comparisons
Despite ITC’s recent decline of 1.08%, its performance is somewhat consistent with its peers. While companies such as Godfrey Phillips India, VST Industries, NTC Industries, and Golden Tobacco are experiencing declines, other competitors in the sector are witnessing gains. Overall, the broader market indices, including Nifty and Sensex, are down by 1.07% and 1.14%, respectively, reflecting a challenging trading environment.
