# Itc (ITC.NSE)

Canonical: https://gigainvestors.com/s/ITC.NSE

Analysis as of: 2026-10-16T07:33:23.874Z. Financial observations: FY2012–FY2026.

Listing currency: INR. Reporting currency: INR.

## Verdict

A wonderful business

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: INR 263.90 per share; close as of 2026-10-15.

## Checklist

### understandable: pass

- 2 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 0

- Operating margin variation: 0.05×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.33×

- FY2018: 0.35×

- FY2019: 0.35×

- FY2020: 0.36×

- FY2021: 0.31×

- FY2022: 0.31×

- FY2023: 0.34×

- FY2024: 0.35×

- FY2025: 0.32×

- FY2026: 0.32×

### moat: pass

- The return floor includes all equity, debt and leases without deducting cash or goodwill. Only a floor above the hurdle establishes a pass.

- Conservative return floor, median: 21.8%

- Conservative return floor, second lowest: 19.2%

- Years with nonpositive capital: 0

- Capital spending / revenue: 4.4%

- ROIC including acquisitions, ten-year median: 25.4%

### economics: pass

- Owner earnings / net income, 5-yr: 0.98×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: INR 1.08T

- Net income, five-year total: INR 1.10T

- Return on incremental invested capital: 54.6%

- Working capital / revenue, annual change: 0.4 pp

- Working capital / revenue, change between three-year averages: 3.5 pp

- Working capital / revenue, final three-year average: 20.6%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 1.00×

- FY2023: 1.00×

- FY2024: 0.90×

- FY2025: 1.00×

- FY2026: 1.00×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks leaned toward cheaper years (informational)

- Per-share earnings: 8.47 to 16.51 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.4%

- Ordinary dilution, 5-year annual growth: 0.4%

- Market cap gain: INR 327B

- Cumulative retained earnings: INR 388B

- Diluted shares, 10-year annual growth: 0.4%

- Diluted shares, 5-year annual growth: 0.4%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: 8.7%

- Per-share value change: INR 8.04

- Per-share value, starting three-year median: INR 8.47

- Per-share value, ending three-year median: INR 16.51

- Buybacks concentrated in cheaper years (correlation): 1.00

- Average buyback yield: 0.0%

- Buyback history: 2 years

- Debt-funded buybacks: No

- Cumulative net income, 10 years: INR 1.73T

- ROIC, last three-year median: 27.3%

Chart: Earnings per share; fiscal year observations.

- FY2017: INR 8.47

- FY2018: INR 9.20

- FY2019: INR 10.24

- FY2020: INR 12.45

- FY2021: INR 10.70

- FY2022: INR 12.37

- FY2023: INR 15.46

- FY2024: INR 16.38

- FY2025: INR 27.75

- FY2026: INR 16.51

### accounting: pass

- restructuring or one-time charges in at least three of five years

- Sloan accruals: 2.4%

- Receivables to sales index (DSRI): 0.79×

- Restructuring years, last five: 3

- Stock compensation / operating cash flow: 0.7%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.89×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.06×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -0.6%

- FY2018: -3.0%

- FY2019: 0.0%

- FY2020: 0.8%

- FY2021: 0.9%

- FY2022: -0.7%

- FY2023: 0.4%

- FY2024: 3.6%

- FY2025: 19.5%

- FY2026: 2.4%

## Holders

## Price story

Down 47% since Sep 2024 · sales +4.7%

Story as of 2026-10-16T09:59:55.972Z; price observation 2026-10-15.

### Sales · FY2025–2026

sales +4.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: INR 428B 

- FY2018: INR 434B 

- FY2019: INR 483B 

- FY2020: INR 494B 

- FY2021: INR 493B 

- FY2022: INR 606B 

- FY2023: INR 709B 

- FY2024: INR 679B 

- FY2025: INR 753B 

- FY2026: INR 789B 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in diversified fmcg; annual sales are INR 788.7 billion.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2026: revenue 788680000000; operatingIncome 255950000000; margin = operatingIncome / revenue.

### Why customers stay

Margins ranged from 32.1% to 34.8% during 2024–26; it earns 27.7% on its capital.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2024: operatingIncome / revenue = 34.8%.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2025: operatingIncome / revenue = 32.1%.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2026: operatingIncome / revenue = 32.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.874Z); 10-year return on capital observations [[2023,0.28089174400446887],[2024,0.2727927070880843],[2025,0.3106170421185679],[2026,0.27073689091868397]]; median 0.2768422255462766. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Reinvests 3.2% of cash earnings; earns 54.6% on new investment.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2017: growth capex 13723560584.851826; upkeep 17496439415.148174; owner earnings 96923560584.85182. Growth capex / owner earnings = 0.1415915851836409.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2018: growth capex 2607571754.662903; upkeep 26172428245.337097; owner earnings 98897571754.6629. Growth capex / owner earnings = 0.026366388055831705.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2019: growth capex 17720000000; upkeep 13970000000; owner earnings 125920000000. Growth capex / owner earnings = 0.14072426937738247.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2020: growth capex 4145481768.811367; upkeep 20264518231.188633; owner earnings 149245481768.81137. Growth capex / owner earnings = 0.027776263104788146.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2021: growth capex 0; upkeep 18370000000; owner earnings 129700000000. Growth capex / owner earnings = 0.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2022: growth capex 4100000000; upkeep 17320000000; cash acquisitions 0; owner earnings 151839800000. Growth capex plus acquisitions / owner earnings = 0.027002143048133625.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2023: growth capex 9340000000; upkeep 18090000000; cash acquisitions 0; owner earnings 191328900000. Growth capex plus acquisitions / owner earnings = 0.048816462123599726.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2024: growth capex 0; upkeep 35630000000; cash acquisitions 0; owner earnings 183471100000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2025: growth capex 6330000000; upkeep 16460000000; cash acquisitions 0; owner earnings 346814800000. Growth capex plus acquisitions / owner earnings = 0.018251816243136106.

- Source: https://www.screener.in/company/ITC/consolidated/ (filed 2026-10-16T07:33:23.874Z); FY2026: growth capex 4720000000; upkeep 17110000000; cash acquisitions 1830900000; owner earnings 206207600000. Growth capex plus acquisitions / owner earnings = 0.03176847022127215.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.874Z); Incremental return on capital 0.5463225300575013, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.874Z); Dividend observations: [[2017,69940000000],[2018,59520000000],[2019,65190000000],[2020,73020000000],[2021,188810000000],[2022,137880000000],[2023,154180000000],[2024,198990000000],[2025,177820000000],[2026,182710000000]]. Zero only counted when supported by a complete cash-flow statement.

### What the price says

The price is 4.2 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.874Z); Closing price 263.9 INR; reporting-to-trading FX 1; FY2026 annual sales per share 62.93734254918073; price multiple 4.193059149165414. FY2026 cash earnings/share 16.455543892889942. Closing-price date 2026-10-15.

## Monthly share-price history (INR per share)

- 2016-11: INR 223.88 per share

- 2016-12: INR 232.69 per share

- 2017-01: INR 248.53 per share

- 2017-02: INR 252.48 per share

- 2017-03: INR 269.91 per share

- 2017-04: INR 267.69 per share

- 2017-05: INR 300.24 per share

- 2017-06: INR 311.65 per share

- 2017-07: INR 274.67 per share

- 2017-08: INR 271.78 per share

- 2017-09: INR 248.72 per share

- 2017-10: INR 255.85 per share

- 2017-11: INR 246.55 per share

- 2017-12: INR 253.49 per share

- 2018-01: INR 261.34 per share

- 2018-02: INR 255.22 per share

- 2018-03: INR 246.02 per share

- 2018-04: INR 271.01 per share

- 2018-05: INR 261.58 per share

- 2018-06: INR 256.33 per share

- 2018-07: INR 286.66 per share

- 2018-08: INR 307.99 per share

- 2018-09: INR 286.71 per share

- 2018-10: INR 269.71 per share

- 2018-11: INR 275.20 per share

- 2018-12: INR 271.21 per share

- 2019-01: INR 268.32 per share

- 2019-02: INR 265.81 per share

- 2019-03: INR 286.23 per share

- 2019-04: INR 290.17 per share

- 2019-05: INR 268.22 per share

- 2019-06: INR 263.69 per share

- 2019-07: INR 260.18 per share

- 2019-08: INR 236.54 per share

- 2019-09: INR 250.21 per share

- 2019-10: INR 248.10 per share

- 2019-11: INR 237.26 per share

- 2019-12: INR 228.88 per share

- 2020-01: INR 226.43 per share

- 2020-02: INR 190.22 per share

- 2020-03: INR 165.33 per share

- 2020-04: INR 175.30 per share

- 2020-05: INR 190.03 per share

- 2020-06: INR 187.43 per share

- 2020-07: INR 186.95 per share

- 2020-08: INR 184.01 per share

- 2020-09: INR 165.33 per share

- 2020-10: INR 159.12 per share

- 2020-11: INR 186.47 per share

- 2020-12: INR 201.25 per share

- 2021-01: INR 195.71 per share

- 2021-02: INR 196.29 per share

- 2021-03: INR 210.40 per share

- 2021-04: INR 195.09 per share

- 2021-05: INR 208.57 per share

- 2021-06: INR 195.18 per share

- 2021-07: INR 197.35 per share

- 2021-08: INR 203.46 per share

- 2021-09: INR 227.39 per share

- 2021-10: INR 214.92 per share

- 2021-11: INR 212.95 per share

- 2021-12: INR 209.96 per share

- 2022-01: INR 212.03 per share

- 2022-02: INR 207.85 per share

- 2022-03: INR 241.35 per share

- 2022-04: INR 249.92 per share

- 2022-05: INR 260.61 per share

- 2022-06: INR 263.36 per share

- 2022-07: INR 291.81 per share

- 2022-08: INR 308.61 per share

- 2022-09: INR 319.88 per share

- 2022-10: INR 335.77 per share

- 2022-11: INR 327.39 per share

- 2022-12: INR 319.25 per share

- 2023-01: INR 339.28 per share

- 2023-02: INR 362.73 per share

- 2023-03: INR 369.28 per share

- 2023-04: INR 409.77 per share

- 2023-05: INR 428.98 per share

- 2023-06: INR 434.85 per share

- 2023-07: INR 448.43 per share

- 2023-08: INR 423.39 per share

- 2023-09: INR 427.92 per share

- 2023-10: INR 412.51 per share

- 2023-11: INR 419.64 per share

- 2023-12: INR 444.96 per share

- 2024-01: INR 425.18 per share

- 2024-02: INR 391.23 per share

- 2024-03: INR 412.46 per share

- 2024-04: INR 419.49 per share

- 2024-05: INR 410.64 per share

- 2024-06: INR 409.14 per share

- 2024-07: INR 476.98 per share

- 2024-08: INR 483.29 per share

- 2024-09: INR 498.93 per share

- 2024-10: INR 470.67 per share

- 2024-11: INR 459.07 per share

- 2024-12: INR 465.71 per share

- 2025-01: INR 447.50 per share

- 2025-02: INR 395.00 per share

- 2025-03: INR 409.75 per share

- 2025-04: INR 425.80 per share

- 2025-05: INR 418.05 per share

- 2025-06: INR 416.45 per share

- 2025-07: INR 411.95 per share

- 2025-08: INR 409.75 per share

- 2025-09: INR 401.55 per share

- 2025-10: INR 420.35 per share

- 2025-11: INR 404.25 per share

- 2025-12: INR 403.00 per share

- 2026-01: INR 322.15 per share

- 2026-02: INR 313.60 per share

- 2026-03: INR 287.70 per share

- 2026-04: INR 314.90 per share

- 2026-05: INR 286.90 per share

- 2026-06: INR 286.95 per share

- 2026-07: INR 281.00 per share

- 2026-08: INR 255.50 per share

- 2026-09: INR 262.75 per share

- 2026-10: INR 263.90 per share

## Annual estimated value (INR per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:39:09.471Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.