ITC pips HDFC to become seventh largest firm by Mcap, stock at all-time high

Stock market today: A day after entering into the list of companies with a ₹5 trillion market capitalisation, ITC has defeated HDFC to become the seventh largest firm by m-cap. Share price of the FMCG major reached its 52-week high of ₹407.60 on Friday.

At the time when ITC shares were trading at their 52-week high levels at ₹407.60 on BSE, its market capitalisation increased to ₹5,06,566.00 crore. On the other hand, HDFC shares were trading 0.16 per cent higher at ₹2746.45 per share. The company's market capitalisation stands at ₹5,03,851.79 crore.

Also Read: ITC’s best strategy: The Indian conglomerate is in no hurry to win

The steady gains made by the ITC shares have helped the company in entering into the ₹5 trillion market cap club. A day ago, the stock also reached its fresh all-time high of ₹402.65 on the NSE, only to break its record and trade at ₹405.50 on Friday.

Also Read: ITC stock rises 21% in 2023 so far, better than peers. What makes this FMCG player so attractive?

The company shares were trading at their all-time low of ₹249.20 on May 12, 2022.

So far, the FMCG giant has made some significant gains in the market in 2023. The stock has seen large number of buying than selling in less than four months. The stock has been breaking records of 52-weeks-high in four last three days. The stock moment gives a positive outlook for the company for the year ahead. ITC's cigarette and FMCG business are expected to earn a record double-digit earnings growth in FY24. All these aspects, make ITC an attractive spot of investment for investors as there are chances that the stock rally may continue for a longer time.

Also Read: GQG Partners raises stake in ITC in Q4, stock hits 52-week high

In 2023, to date, ITC shares have increased by nearly 21.97 per cent. In a year, the stock has improved by more than 55.86 per cent on the stock market.

ITC shares price outlook

As ITC continues to perform well compared to its peers like Dabur India and Emami, stock market experts are presenting a bullish stance on the stock.

Experts believe that the company is going to perform well in the cigarette and FMCG sector in the coming time. They expect the two sectors to witness double-digit growth in FY24.

"ITC's shares recently touched a 52-week high, reflecting a positive outlook for the company. The legal cigarette industry is gaining market share from illegal sales due to rational tax policy, which bodes well for ITC's cigarette business. Both the cigarette and FMCG sectors are expected to witness double-digit earnings growth in FY24, driven by good margin recovery in the FMCG business. ITC's valuation remains attractive compared to other consumer staples firms, even at the current all-time high, making it a strong choice for investors," said Sonam Srivastava- Founder at Wright Research.