Share of ITC Limited is currently trading at around Rs.399/- Existing as well as prospective investors are asking for the ITC share price target from 2023 to 2030. In this article, we will discuss about the business prospects and financial performance of ITC Limited and based on our discussion and analysis will tell you the ITC Share Price Target from 2023 to 2030.
ITC Limited, formerly known as Imperial Tobacco Company of India Limited, is an Indian conglomerate that operates in various sectors including fast-moving consumer goods, hotels, paperboards and specialty papers, packaging, agri-business, and information technology. Founded in 1910, ITC has grown to become one of India’s largest diversified corporations, with a market capitalization of over $50 billion as of 2021. In this article, we will take a closer look at the business prospects and financial fundamentals of ITC Limited.
Business Prospects:
ITC has a diversified business model with a strong presence in several key sectors of the Indian economy. The company’s fast-moving consumer goods (FMCG) division is one of its most important businesses and includes products such as cigarettes, packaged foods, personal care, and education and stationery products. In recent years, ITC has been focused on growing its non-cigarette FMCG business, which has seen strong growth in revenue and market share. The company has also been investing heavily in research and development to bring innovative products to the market.
Another key business for ITC is its hotels division, which operates luxury hotels in India and abroad. The company’s flagship property, the ITC Grand Chola in Chennai, is one of the largest hotels in India and has won several awards for its design and service. The hotels division has been affected by the COVID-19 pandemic, but ITC has been taking steps to minimize the impact on its operations.
ITC’s paperboards and specialty papers business is another important division, accounting for around 25% of the company’s revenue. The division operates several mills in India and produces a range of high-quality paper products for packaging and printing applications. ITC has been investing in this business to expand its capacity and increase efficiency.
Overall, ITC’s diversified business model and strong brand presence in several key sectors give the company a solid foundation for future growth. The company’s focus on innovation and sustainability should also help it to stay ahead of competitors in its markets.
Financial Fundamentals:
ITC has a strong financial position, with healthy revenue growth and profitability. In the financial year 2020-21, the company reported consolidated revenue of Rs 45,914 crore ($6.2 billion), up 3.4% from the previous year. The company’s operating profit margin was 34.7%, up from 33.7% in the previous year. However, the company’s net profit was down 1.2% to Rs 13,894 crore ($1.9 billion), largely due to the impact of the COVID-19 pandemic on its operations.
ITC has a strong balance sheet, with low debt levels and ample cash reserves. As of March 2021, the company had cash and cash equivalents of Rs 4,325 crore ($584 million) and a net debt-to-equity ratio of 0.1. The company has also been generating strong cash flows from its operations, with operating cash flow of Rs 14,426 crore ($1.9 billion) in the financial year 2020-21.
ITC has been consistently paying dividends to its shareholders, with a dividend payout ratio of around 80% in the financial year 2020-21. The company’s dividend yield is currently around 4%, which is attractive for investors seeking regular income.
Conclusion:
ITC Limited has a diversified business model and strong financial fundamentals, which make it an attractive investment opportunity for investors. The company’s focus on innovation and sustainability should also help it to stay ahead of competitors in its markets. However, as with any investment, there are risks to consider, such as changes in regulations, competition, and economic conditions. It is important for investors to do their due diligence and assess the risks
ITC Share Price Target 2023
Based on the above discussion and analysis, the share price of ITC may touch the level of around Rs.450-500 in 2023.
ITC Share Price Target 2024
Based on the above discussion and analysis, the share price of ITC is likely to touch the level of around Rs.550-600 in 2024
ITC Share Price Target 2025
Based on the above discussion and analysis, the share price of ITC is likely to remain in the range of Rs.650-700 in 2025.
ITC Share Price Target 2026
Based on the above discussion and analysis, the share price of ITC may touch the level of around Rs.750-800 in 2026.
ITC Share Price Target 2027
Based on the above discussion and analysis, the share price of ITC is likely to touch the level of around Rs.850-900 in 2027.
ITC Share Price Target 2028
Based on the above discussion and analysis, the share price of ITC is likely to remain in the range of Rs.950-999 in 2028
ITC Share Price Target 2029
Based on the above discussion and analysis, the share price of ITC is likely to touch the level of around Rs.1050-1250 in 2029
ITC Share Price Target 2030
Based on the above discussion and analysis, the share price of ITC is likely to remain in the range of Rs.1300-1500 in 2030
Disclaimer: Share Prices are subject to market fluctuations and are dependent on several factors. These predictions are based on the current market conditions and the future market expectations. Investors are advised to take into consideration all these factors before making any investment in Capital Market. This article should not be treated as Investment advisory and is for general guidance purpose only. We keep revising our share price targets based on the latest information available with us. Please keep visiting our website regularly to keep yourself updated. MoneyInsight does not offer investment advice and does not encourage any action based on its content.
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