Overview

• ITC share price slipped to Rs. 319 as investors stayed cautious ahead of the December quarter earnings announcement.

• Analysts expect modest revenue growth and a year-on-year profit decline due to a higher base.

• Interim dividend decision and margin outlook are likely to shape the company’s near-term stock direction.

ITC share price went down 0.67% ahead of its December quarter results announcement. The FMCG major’s stock was trading at Rs. 319 at press time. Investors are feeling cautious as the company is expected to report muted earnings growth.

ITC shares opened at Rs. 322.60 and touched a high of Rs. 322.60. The previous close was Rs. 321.15. The stock’s trading volume was over 85 lakh shares with a value of more than Rs. 27,000 lakh. It traded close to its VWAP of Rs. 319.17, showing limited momentum on Jan 29.  Let’s explore an in-depth analysis on ITC share price based on Moneycontrol data. 

ITC Share Price Performance and Key Levels

ITC shares’ market capitalisation stood at Rs. 3.99 lakh crore at press time. The stock has seen pressure in recent months and was trading near its 52-week low of Rs. 317.85. Its 52-week high was at Rs. 471.50, highlighting the sharp correction over the past year.

The FMCG stock traded at a TTM PE of 11.41, lower than the sector PE of 11.46. However, the company has so far offered a strong dividend yield of around 4.5%. This benefit may attract long-term income-focused investors. The stock’s beta of 0.54 indicated lower volatility compared to the broader market.

ITC share price chart on Moneycontrol showed a loss of 0.78% at the time of writing:

ITC Q3 Results Preview: What Analysts Expect

The FMCG giant is set to announce its Q3 FY26 results on January 29. Its board will also consider an interim dividend for the financial year ending March 2026, which is a key trigger for the stock.

Analysts expect a weak earnings performance in the December quarter. Estimates suggest revenue growth may remain in the low to mid-single digits. At the same time, profit could decline year-on-year.

Brokerages such as Kotak Institutional Equities and Nuvama expect profit to fall by around 5-6%. Nuvama has pegged ITC’s adjusted Q3 profit at around Rs. 5,075 crore, which would be a decline of over 6% compared to the same quarter last year. Revenue is expected to grow about 6% year-on-year, reaching nearly Rs. 18,064 crore.

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Segment Outlook and Margin Pressure

The cigarette business is expected to be stable, with volume growth estimated at around 6% year-on-year. However, margins may stay under pressure due to higher input costs, including leaf tobacco. Analysts believe the benefit of lower tobacco prices will be seen more clearly from the March quarter onwards. Overall, EBITDA is expected to grow around 7% year-on-year, supported by steady demand in key business segments.

Analyst Ratings 

Based on views from 36 analysts on Moneycontrol, ITC stock currently has a ‘Hold’ rating. About 28% recommend buying the stock, while 33% suggest holding. A smaller portion is cautious, with underperform and sell ratings together accounting for just over 20%.

What to Watch Going Forward

ITC share price movement in the near term will depend on the Q3 results, management commentary, and the interim dividend announcement. The stock valuations are already low, and the dividend yield is attractive. So, long-term investors may watch for stability. On the other hand, short-term traders may take a cautious outlook until clearer earnings signals emerge.

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FAQs

1. Why did ITC stock price decrease before the Q3 results?

The price went down since investors were careful before the earnings report for the December quarter. Experts think profit will decrease compared to last year, even if revenue grows a bit. Also, smaller profit margins because of higher costs and a lack of good news soon made investors worried. Many decided to hold off until it was clear what the earnings and dividends would be before investing more.

2. What do experts expect from ITC Q3 FY26 results?

Experts think ITC will report poor earnings for the December quarter. Revenue will probably grow about 6%, but profit might drop by 5–6% because last year's income was high. Cigarette sales should stay the same, but margins might be low due to higher tobacco and other costs.

3. Is ITC stock a good value at its current price?

ITC's price is about 11.4 times its earnings, which is a bit less than the average for its industry. The stock also pays a dividend of around 4.5%, which is good for long-term investors. Earnings aren't growing fast, and there's not much good news coming soon, so the stock might not go up much until profits improve or demand increases.

4. Will ITC announce a dividend with its Q3 results?

Yes, ITC's board plans to think about a dividend along with the Q3 results. How much the dividend will be is very important to investors, since the company has a lot of cash and usually pays well. If the dividend is higher than expected, the stock price could go up for a bit, especially if the market isn't doing well.

5. What should investors watch for in ITC Q3 results?

Investors should pay attention to what executives say about margins, costs, and demand. Updates on cigarette prices, sales, and cost issues will be key. The size of the dividend, if they announce one, could change the stock price in the short term. Long-term investors can look for signs that margins will get better starting in the March quarter.