ITC LTD
ITC.NS NSEItc Ltd looks about 31% overvalued against its cash-flow value. Its growth outlook scores strong; the balance sheet is solid.
At a glance
tap a tile to dig inOtto's verdict
the tiles above, in a line each- Value Looks ~31% overvalued against Otto's cash-flow estimate.
- Health 13 of 21 health checks pass.
- Growth Revenue trend ≈ +4%/yr (extended trend, not a forecast).
- Street Analysts lean buy · avg target +21% from here.
- Dividend Pays a dividend — yields 5.94%.
Not investment advice — Otto just crunches numbers.
Price trend
-30.4% over one year · NIFTY 50 -3.2%
What think
The market's move: -30.4% over the past year
Trading 3% up its 52-week range. Price is the market's live vote — not advice.
Analyst consensus: Buy · 33 analysts
Average 12-month target $3.42 — +21.4% vs today.
Yahoo Finance's analyst aggregate. Sentiment, not advice.
Insider filings come from SEC EDGAR — US companies only, so there's none for ITC.NS.
InvestRight readers: 0 watching
This site's own activity — not a broad measure. Sentiment, not advice.
The snowflake
checks passed on each axis- Value 0/2 checks
- Future 3/4 checks
- Past 2/3 checks
- Health 5/6 checks
- Dividend 3/6 checks
What does this show?
Five quick health scores — Value, Future, Past, Health and Dividend — each 0–100%. A bigger, more even shape means a stock that scores well across the board; a spiky one is strong on some axes and weak on others.
Learn more on Investopedia →Fair value
our estimate · not analyst forecast31% above our estimate — the price sits over what our numbers support.
How we got there
A 2-stage discounted-cash-flow on free cash flow: grow it at the capped historical trend for five years, fade to a 2.5% long-run rate, discount everything at 9.0%. It's a transparent estimate from past numbers, not a licensed forecast — treat it as one lens, not truth.
What does this show?
Our estimate of what one share is worth based on the cash the business is expected to generate (a discounted-cash-flow model), next to today's price. Below fair value hints undervalued, above hints expensive — it's an estimate, not a guarantee.
Learn more on Investopedia →Health checks
21 checks run on free data- ⚠ Trading below our fair-value estimate -31% vs our DCF estimate
- ⚠ Debt/equity falling over time long-term debt/equity 0.1% vs 0.0%
- ⚠ Dividend covered by earnings and cash flow not fully covered
- ⚠ No dividend cut in recent years a cut shows in the record
- ⚠ Growth accelerating vs its average latest -40.5%/yr vs 2.5% average
- ⚠ Earnings growth beats the market 2.5%/yr vs market ~9.0%
Show all 21 checks by axis
Value 0/2 passed
- ⚠ Trading below our fair-value estimate -31% vs our DCF estimate
- – P/B below industry industry P/B not on the free feed
- – P/E below industry industry P/E not on the free feed
- – P/E below peer average peer P/Es land after the next refresh
- – P/S sane vs its own history needs multi-year P/S (Tier B)
- ⚠ More than 20% below fair value -31% margin of safety
Future 3/4 passed
- ✓ Earnings trending up 2.5%/yr over 3yr
- – Growth beats the industry industry growth not on the free feed
- ⚠ Earnings growth beats the market 2.5%/yr vs market ~9.0%
- ✓ Revenue trending up 3.6%/yr over 3yr
- ✓ Return on equity improving ROE 28.5% vs 27.8% 3yr ago
Past 2/3 passed
- ✓ Earnings grew over the period 191.9B → 206.9B
- – High-quality earnings (few one-offs) one-off detection deferred — needs statement detail
- ⚠ Growth accelerating vs its average latest -40.5%/yr vs 2.5% average
- ✓ Revenue higher than five years ago 702.5B → 782.1B
- – Return on equity above 20%
Health 5/6 passed
- ⚠ Debt/equity falling over time long-term debt/equity 0.1% vs 0.0%
- ✓ Debt is under 40% of equity debt/equity 3%
- ✓ Debt well covered by cash flow operating cash flow covers 770.0% of debt
- ✓ Interest comfortably covered by profit EBIT covers interest 330.1×
- ✓ Short-term assets cover long-term debt 507.1B vs 42.3B
- ✓ Short-term assets cover short-term bills 507.1B vs 166.9B
Dividend 3/6 passed
- ⚠ Dividend covered by earnings and cash flow not fully covered
- ✓ Dividend growing over time over 4yr on record
- ⚠ No dividend cut in recent years a cut shows in the record
- ⚠ Payout ratio under 75% payout 91.5% of earnings
- ✓ Yield beats the market yield 5.94% vs market ~1.5%
- ✓ Yield in the top quartile of payers yield 5.94% vs 2.36% cut among the 93 payers Otto tracks
What does this show?
Pass/fail rules on the company's finances — debt levels, profitability, cash cover and so on. More greens means a sturdier balance sheet; an n/a just means we didn't have that data point.
Learn more on Investopedia →Past performance
recent history from Yahoo FinanceRevenue
Earnings
Free cash flow
dashed line = what it'd look like growing at our ~9% market-average benchmark, for comparison
Deeper 10-yr statements are US-only for now — Otto's showing ITC.NS's Yahoo figures instead.
What does this show?
How revenue, earnings and free cash flow have grown over the years. Bars rising left-to-right show a growing business; the dashed line is a market-average pace for comparison.
Learn more on Investopedia →Revenue & expenses
Quarterly · all periods| Q2 2026 | Q1 2026 | Q4 2025 | Q2 2025 | Q1 2025 | |
|---|---|---|---|---|---|
| Revenue | $1.99B (-11%) | $1.84B (-12%) | $2.08B | $2.23B | $2.08B |
| Cost of sales | $929.22M (-13%) | $601.83M (-32%) | $879.77M | $1.07B | $879.77M |
| Gross profit | $1.06B (-9%) | $1.24B (+3%) | $1.20B | $1.16B | $1.20B |
| Tax & other | $597.41M (-3%) | $677.53M (-1%) | $686.60M | $616.46M | $686.60M |
| Net income | $459.25M (-16%) | $563.12M (+9%) | $515.38M | $548.10M | $515.38M |
Change in brackets is vs. the same period a year earlier. Reported figures from Yahoo Finance, shown in USD.
What does this show?
How a company turns sales into profit. Revenue splits into the direct cost of sales and the gross profit left over; from that gross profit come operating costs (R&D, SG&A), tax and interest — what survives is net income. Every figure is also shown as a share of revenue, so you can compare periods and companies of different sizes.
Learn more on Investopedia →Future
trend, not analyst forecastRevenue · extended at 3.6%/yr
Earnings · extended at 2.5%/yr
Dashed bars just extend the historical trend (capped at ±15%/yr) — the same growth our DCF uses. It's arithmetic on the past, not an analyst forecast; real futures bend.
What does this show?
Solid bars are history; dashed bars simply extend the past growth trend a few years forward — capped so it stays sane. It's a trend line, not an analyst forecast.
Learn more on Investopedia →Dividend
from cash actually paid, not promisesTotal dividends paid · split-proof, unlike per-share history
What does this show?
The share of profit paid back to shareholders as cash. Yield is that cash as a % of the price; the payout gauge shows how much of earnings is paid out (over ~75% can be hard to sustain).
Learn more on Investopedia →Ownership & insiders
Insider-trade filings come from SEC EDGAR, which covers US companies only — there's no free equivalent for Indian filings yet, so Otto skips this one for ITC.NS.
What does this show?
Buys and sells by the company's own directors and officers, from their SEC filings. Insiders sell for many reasons, but clusters of open-market buying can signal confidence.
Learn more on Investopedia →Competitors
Tobacco · tap to jumpNo competitors listed for ITC.NS yet — sign in to add the first one.
What does this show?
A few peers in the same business, each with its own mini snowflake, so you can see how this company stacks up rather than judging it in isolation. Anyone signed in can add a missing competitor — it shows for everyone, marked as user-added.
Learn more on Investopedia →Leadership
Yahoo Finance · photos & bios via Wikidata-
Mr. Hemant Malik
Whole Time Director & Divisional Chief Executive of Foods Business
- Age
- 58
- Total yearly comp
- $756,888
-
Mr. Rajendra Kumar Singhi
Executive VP, Company Secretary & Compliance Officer
- Age
- 60
Ranked by title — reporting lines aren't public data. Compensation is the total Yahoo reports; blank means it isn't disclosed there.
In the news
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