Friday, May 20, 2011

ITC Results and Valuation

ITC Q4 results of 2011 has beaten analyst estimates. Net sales of the company surged 15.5% to Rs. 5836.26 crores while net profit surged around 25% Rs. 1281.5 crores

For fisal year 2011 ITC reported total revenue of Rs. 21,344.5 crores and net profit of Rs. 4987.6 crores an increase of 16% and 23% over previous year on revenue and profits resepectively.

At the market price of Rs 186 the company commands a market capitalization of Rs. 1,43,775 Crores. The stock is trading at a PE multiple of approximately 29 which is slightly on the higher side compared to other diversified conglomerates.

On the shareholder's retun perspective the stock has given phenomenal returns in past three years. The stock has given more than 64% return since may 2008, and has outperformed SENSEX by wide margin.

No comments:

Post a Comment

15 Stock Investment Tips from Rakesh Jhunjhunwala

1. Always go against tide. Buy when others are selling and sell when others are buying.  2. If you believe in the growth prospects o...