ITC Ltd. Hits Intraday Low Amid Price Pressure, Declines Nearly 4%

Intraday Performance and Price Movement

On 1 January 2026, ITC Ltd. recorded an intraday low of Rs 390.55, marking a decline of 3.09% from its previous close. The stock’s day change stood at -3.98%, significantly underperforming the FMCG sector, which fell by 2.13%, and the Sensex, which gained 0.24% during the session. This intraday low also represents a new 52-week low for the company, underscoring the downward momentum in its share price.

ITC’s share price is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This technical positioning indicates sustained selling pressure and a lack of short-term support levels, which has contributed to the stock’s inability to recover intraday losses.

Sector and Market Context

The Cigarettes/Tobacco sector, to which ITC belongs, has faced headwinds today, declining by 2.13%. This sectoral weakness has compounded the pressure on ITC’s stock price. In contrast, the broader market displayed resilience, with the Sensex opening flat and then gaining 0.24% to trade at 85,422.72 points. The Sensex remains close to its 52-week high of 86,159.02, just 0.86% away, supported by mega-cap stocks leading the gains.

Technical indicators for the Sensex remain bullish, with the index trading above its 50-day moving average, which itself is positioned above the 200-day moving average. This divergence between the broader market’s strength and ITC’s weakness highlights the stock’s relative underperformance.

Recent Performance Trends

ITC Ltd.’s recent performance metrics reveal a consistent pattern of underperformance relative to the Sensex. Over the past day, the stock declined by 3.95%, while the Sensex gained 0.24%. The one-week performance shows a 4.81% drop for ITC compared to a marginal 0.02% increase in the Sensex. Similarly, over one month, ITC fell 4.28% against the Sensex’s 0.26% decline.

Over a three-month horizon, ITC’s share price decreased by 4.57%, whereas the Sensex advanced by 5.48%. The one-year performance gap is more pronounced, with ITC down 15.43% compared to the Sensex’s 8.81% gain. Year-to-date, ITC has declined by 3.95%, while the Sensex has risen by 0.24%. These figures illustrate a sustained divergence in performance, reflecting challenges in regaining investor confidence.

Longer-Term Perspective

Looking at longer-term returns, ITC has delivered a 23.40% gain over three years, trailing the Sensex’s 40.40% appreciation. Over five years, ITC’s total return stands at 91.37%, slightly ahead of the Sensex’s 78.45%. However, over a decade, ITC’s 87.55% gain is significantly lower than the Sensex’s 226.53% rise, indicating that the stock has lagged the broader market substantially in the long run.

Mojo Score and Rating Update

ITC Ltd. currently holds a Mojo Score of 46.0, which corresponds to a Sell grade. This rating was downgraded from Hold on 29 December 2025, reflecting a reassessment of the stock’s outlook based on recent performance and market conditions. The company’s Market Cap Grade is 1, indicating a relatively lower market capitalisation quality compared to peers. These metrics align with the observed price weakness and technical indicators.

Summary of Market Sentiment and Immediate Pressures

The intraday decline in ITC Ltd.’s share price reflects a combination of sectoral weakness and technical selling pressure. Despite a broadly positive market environment, with the Sensex advancing and trading near its 52-week high, ITC’s stock has struggled to find support. The stock’s position below all major moving averages signals continued bearish momentum, while the Cigarettes/Tobacco sector’s decline has added to the downward pressure.

Investors have witnessed a consistent pattern of underperformance by ITC relative to the benchmark index and its sector peers. The downgrade in the Mojo Grade to Sell further emphasises the cautious stance on the stock. These factors collectively explain the stock’s intraday low and the challenges it faces in reversing the current trend.

Technical and Market Indicators

ITC’s trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages indicates a lack of short- and medium-term buying interest. This technical setup often leads to increased volatility and downward price pressure as stop-loss triggers and algorithmic trading may exacerbate selling. Meanwhile, the broader market’s strength, led by mega-cap stocks, highlights the stock’s relative weakness within the FMCG sector.

Conclusion

In summary, ITC Ltd.’s intraday low of Rs 390.55 and the nearly 4% decline in share price today are the result of sustained price pressure amid sectoral weakness and unfavourable technical conditions. The stock’s underperformance relative to the Sensex and its peers, combined with a recent downgrade in rating, reflects the challenges it currently faces in regaining upward momentum. Market participants will continue to monitor these dynamics closely as the stock navigates this period of subdued sentiment.

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