Shares of ITC Ltd rose by 2% on Tuesday, emerging as a key driver in helping the stock market recover from early session losses. The FMCG giant’s buying momentum provided a boost to benchmark indices, with investors flocking to the stock after initial weakness. ITC climbed to around ₹325–₹327, attracting buying interest after recent consolidation. The rally also supported the Nifty 50 and Sensex, which stabilized as other large-cap stocks followed suit.
Yesterday, ITC had gained around 1% to ₹317 on the NSE after reports that Parag Parikh Flexi Cap Fund increased its stake in the company during January 2026, lending further support to investor sentiment. The flexi-cap fund — the largest active fund in its category by assets under management — raised its AUM to ₹1,33,969 crore in January from ₹1,33,308 crore in December. The increased exposure comes at a time when ITC has been under pressure over the past six months, with the stock declining nearly 22%.
During its Q3 FY2026 results, ITC announced an interim dividend of ₹6.50 per equity share. The record date was fixed as February 4, 2026, with the dividend scheduled to be credited between February 26 and February 28, 2026. The announcement has provided temporary support to investor sentiment, even as the stock continues to face pressure from the broader weak price trend. Earlier this month, on February 6, ITC shares had surged nearly 6% to close at ₹326.35, snapping a two-session losing streak, though the rally proved short-lived. While the dividend announcement and institutional buying offer support, brokerages remain cautious about the stock’s near-term upside.