ITC shares continue to rise after Q2 results 2026; jumps 3% today | More rally to come? Check target, upside, returns
FMCG giant ITC share price continued its gaining streak and jumped over 3% in Wednesday's trading session after the company reported its financial results for the quarter ending on 30 September, 2026.
ITC shares opened at ₹272.90 apiece on NSE today, as compared to previous close of ₹273.90 on Tuesday and touched an intraday high of ₹276.15 on 4 November.
ITC reported an 18.5% year-on-year (YoY) decline in consolidated net profit for the September quarter of FY27, primarily due to a steep drop in earnings from its cigarette business. The decline came despite healthy growth across its non-cigarette FMCG, agriculture and paper businesses.
The company's consolidated net profit stood at ₹4,229 crore in Q2 FY27, compared with ₹5,187 crore in the corresponding quarter last year. However, consolidated revenue increased 5% YoY to ₹20,454 crore from ₹19,455 crore.
ITC's consolidated earnings before interest, taxes, depreciation and amortisation (EBITDA) declined 15.7% YoY to ₹5,645 crore from ₹6,695 crore, indicating continued pressure on its operating profitability.
The cigarette segment was the biggest contributor to the earnings decline. Its segment profit dropped 27.2% YoY to ₹3,813 crore from ₹5,241 crore in the year-ago quarter, while net revenue from cigarettes contracted 21%.
Meanwhile, ITC's non-cigarette FMCG business recorded its highest revenue growth in 14 quarters, driven by improved sales across packaged foods, personal care and stationery categories.
The company's paperboards, paper and packaging segment also witnessed a significant recovery during the September quarter.
Brokerage firm Religare Broking has maintained ‘buy’ rating on the ITC stock with a revised target price of ₹408 per share, seeing an upside potential up to 51.8%.
“ITC’s diversified business portfolio, strong FMCG growth, improving paper segment performance and expansion in value-added products support its medium-term growth prospects. The non-cigarette businesses are expected to remain key growth drivers, supported by premiumisation, distribution expansion and new product launches. However, cigarette volume recovery remains uncertain amid higher taxation and rising illicit trade, while elevated input costs, geopolitical disruptions and uneven monsoons pose additional risks. Fresh food and digital-first portfolios provide emerging growth opportunities. Accordingly, we expect Revenue/EBITDA/PAT to register a CAGR of 7.2%/5.1%/4.8% over FY26-28E and maintain our BUY rating with a revised target price of ₹408,” the firm said.
Meanwhile, Mahesh M Ojha, VP Research & Business Development at Kantilal Chhaganlal Securities, believes that ITC is showing a good breakout on the charts today, indicating positive momentum in the stock.
“The technical setup looks encouraging, and traders can consider maintaining a bullish view. The stock has a stop-loss of ₹268, while the upside targets are placed at ₹288, ₹294 and ₹304, respectively,” Ojha said.
Vaamanaa covers business and stock market news. Started in 2020, she has been producing news on digital platforms for over 4.5 years now. She writes on markets, commodities, IPOs, and industry. She has worked for news channels like Jagran New Media and Business Insider India. You can reach out to her at vaamanaa.sethi@htdigital.in.
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HomeMarketsStock MarketsITC shares continue to rise after Q2 results 2026; jumps 3% today | More rally to come? Check target, upside, returns
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