ITC share price gains after CLSA upgrades stock to outperform, raises target to Rs 255

ITC share price gains after CLSA upgrades stock to outperform, raises target to Rs 255

ITC share price was up over 2 percent intraday on December 9 after Credit Suisse upgraded the stock to 'outperform' from 'neutral'.

The global research firm has upgraded the stock from neutral to outperform and has also raised the target to Rs 255 from Rs 200 per share, according to a CNBC-TV18 report.

The research firm is of the view that FMCG is on the path to an acceptable margin with an FY21 margin likely at 9 percent. It sees 12 percent margin in the next 5 years.

CLSA believes that the cigarette business is trading at an implied PE of 10x which is significantly below the base case.

The stock was trading at s 207.20, up Rs 4.75, or 2.35 percent at 11:17 hours. It has touched an intraday high of Rs 207.40 and an intraday low of Rs 204.60. The scrip was also the top index gainer