ITC Shares See Buying Interest as Company Raises Gold Flake Prices

ITC shares saw buying interest during the opening bell on Thursday after the company raised the price of its Gold Flake Regular cigarettes. The stock opened higher at ₹ 287.40 per share on the National Stock Exchange and touched an intraday high of ₹ 290.25 within a few minutes, rising over one percent. However, the shares failed to hold those higher levels and retraced after profit-booking, oscillating around ₹ 286.75 by 10:35 AM.

Price Hike Details

ITC has increased the price of Gold Flake Regular by ₹ 10 per pack, bringing it to ₹ 135. This is the second price rise for the brand in 2026, following a ₹ 30 increase in February that moved the price from ₹ 95 to ₹ 125. Gold Flake Regular is a key product that makes up about 30 to 35 percent of ITC's total cigarette volumes and an even higher share of its profits. Avinash Gorakshkar, Founder of Avinash Mentor Research, noted that ITC cigarette brands hold more than three-fourths of the market share, which helps the company protect its profit margins and offset tax burdens through price increases. Gorakshkar advises existing investors to hold the stock and allows fresh buyers to enter for the long term, adding that non-cigarette businesses like FMCG and hospitality are also expanding fast.

Expert Recommendations

Sumeet Bagagia, Executive Director at Choice Broking, expects the stock to rise further because the technical chart pattern looks positive. Bagagia recommends buying at the current market price with a target of ₹ 320 and a stop-loss at ₹ 270. Existing shareholders are also advised to hold with the same stop-loss and target levels.

Context

Cigarette makers regularly use pricing power to offset rising tax burdens and protect profit margins. Diversifying into non-cigarette segments like fast-moving consumer goods helps tobacco companies reduce their heavy financial reliance on the tobacco business over time.