Buy ITC advises PN Vijay

Investment expert PN Vijay advised buying ITC. According to him, the FMCG space looks good now because of the confirmation that the monsoon will be good and the sustaining of rural demand.

Vijay told CNBC-TV18, “ITC has always been a buy for me for a long time and it will continue to be so. However, there might be a mild reaction as money switches from ITC to HUL just for today. ITC is a tobacco based company and it doesn’t clash with HUL very much though it is growing other products where it does.” Also Read - ITC, Dabur & all FMCG members join Hindustan Unilever party “The FMCG space looks good now because of the confirmation that the monsoon will be good and the sustaining of rural demand. Also, one is seeing a lot of work being done by the FMCG companies to go up on the value chain through premium brand valuation to cash the upper end of the middle class market and the urban cities. All that is leading to better EBITDA margins across the board. We still have to wait for the other FMCG majors to declare their results, but FMCG profitability and margins are areas of positivity in this market today,” Vijay added.