This FMCG stock closes 6% higher on Budget day, analysts see up to 19% upside; check out new target

ITC stock share price target: The benchmark Sensex and Nifty finished a little down in volatility trade on Tuesday, July 23, after the government suggested raising the securities transaction tax on futures and options in the budget for 2024-25.

The 30-share BSE Sensex closed by 73.04 points, or 0.09 per cent, at 80,429.04. While the NSE Nifty fell 30.20 points, or 0.12 per cent, to 24,479.05. 

However, during the market hours, the FMCG sector was performing better. Today, there was a good rise in the shares of this sector, while shares like ITC, and Tata Consumers were among the top gainers of Nifty.

ITC stock in the limelight today

The stock of the leading FMCG company, ITC, was a tremendous performer on Budget Day. The stock has performed well in 10 out of the last 11 Budgets and has closed at a good pace. Even today the stock has closed with a rise of 6 per cent. The share closed at Rs 492 per share, up 5.52 per cent. The stock had opened at Rs 467. At the same time, if we talk about the FMCG sector today, then this sector recorded the highest growth on NSE. Today the FMCG index closed by 2.68 per cent higher at 62,511.25.

This means, the stock can give up to 19 per cent returns from its today's closing price.

Brokerage increases ITC stock target

Brokerage Jefferies has double-upgraded the stock. On the ITC scrip, the brokerage has increased the rating from 'hold' to 'buy' and shared the target of Rs 585 from the previous target of Rs 435. 

If we look at the price history of the stock, there has been no significant rise in this stock this year. The stock is up just 5.3 per cent this year. It has gone up by 7.3 per cent in the last six months. At the same time, its return in the last two years has been 64 per cent. At the same time, if we look at the movement of the last five years, the stock has gone up by 82 per cent.

A look at other FMCG stocks' performance today

Today, Heritage Foods soared 5 per cent, Avanti Feeds jumped 4.60 per cent, Tata Consumer Products 4.49 per cent, and Vadilal Industries 4.09 per cent on the BSE.

Besides, LT Foods rose 3.73 per cent, Tasty Bite (3.29 per cent), Godrej Consumer Products (3.25 per cent), Dabur (2.75 per cent), Kaveri Seed Company (2.21 per cent) and Hindustan Unilever (1.17 per cent).