Citi turns bullish on ITC after 34% yearly fall
In short
Citi turned bullish on ITC after the stock had fallen 34% this year. The CNBC TV18 summary says Citi thinks the earnings downgrade cycle is mostly over and that the stock now looks better valued.
This matters because investors may see less downside if the market has already priced in a possible cigarette tax hike. The tax change itself is not confirmed in the available reporting.
What the reporting says
Citi turned bullish on ITC after the stock fell 34% year to date, according to a CNBC TV18 Market summary. The brokerage said the earnings downgrade cycle is largely over and that the current valuation improves the risk-reward profile. It also said the correction may already have priced in risks tied to a possible cigarette tax hike, but the tax move itself is not stated as decided.
Why it matters
Citi’s bullish view on ITC follows a reported 34% year-to-date decline in the stock. The brokerage says the earnings downgrade cycle is largely over and that valuation now offers a better risk-reward profile. It also says the decline may already reflect concern about a possible cigarette tax hike, though no tax decision is reported. The immediate effect is supportive for ITC sentiment.