ITC gains 4% on brokerage upgrade

Shares of fast moving consumer goods (FMCG) major ITC have moved higher by 4% to Rs 330 on the BSE on reports that Morgan Stanley has upgraded the stock to ‘overweight’ from ‘underweight’.

The brokerage firm has raised the target price of ITC to Rs 400 from Rs 390, citing benign valuations and earnings expectations, the Reuters report suggests.

Meanwhile, the stock had underperformed the market by declining 4.5% in the past two weeks compared to a 1% decline in the S&P BSE Sensex.

The counter has seen huge trading volumes, with a combined 7.19 million shares changing hands till 12:43 PM, against an average 5.3 million shares that were traded daily in the past two weeks on the BSE and NSE.

ITC Limited