ITC Limited, a major player in the Indian cigarette market, saw its shares decline 2% to ₹303 on the Bombay Stock Exchange following the announcement of its Q4 FY26 results. The company reported a 5% year-on-year increase in standalone net profit, reaching ₹5,113 crore, alongside a 17% rise in revenue from operations to ₹21,695 crore. The cigarette segment remained the primary profit driver, with revenues rising 32% year-on-year, despite concerns over future performance due to a recent tax hike. Analysts from major brokerages have mixed views on the stock's potential. Morgan Stanley maintains an 'Equal-weight' rating with a target price of ₹346, while Goldman Sachs retains a Neutral stance with a target of ₹330, anticipating an 8% decline in cigarette volumes for FY27. Nomura has a more pessimistic outlook, reducing its target price to ₹300 and projecting a 5% decline in cigarette volumes, citing the impact of tax increases on margins. Despite the challenges in the cigarette business, ITC's FMCG segment reported strong growth, contributing positively to the overall financial results.