Expect 20-25% earnings growth for ITC: Prashasta Seth

In a chat with ET Now, Prashasta Seth, Senior Fund Manager, IIFL Wealth, shares his views on ITC. Excerpts:

ET Now: What is your current view of the FMCG sector?

Prashasta Seth: I am bullish on ITC at these levels. We have seen an approximately 20 per cent correction from the top, and at these levels, we find this stock fairly interesting.

There are two issues that the company is facing: one, is the slowdown in the volume growth and two, the stake sale through SUUTI. We cannot take a call on when and at what price the stake sale is going to happen.

However, the cigarette volume growth, which is concerning the markets, would come back over a period of time; we are confident in terms of 20-25 per cent earnings growth for the company.