ITC, Godfrey Phillips Share Price Surge 8–11% After Price Hikes

Shares of ITC, Godfrey Phillips India, and VST Industries jumped 8–11% on February 18, 2026, extending their recent winning streak. The rise comes after reports that these companies increased cigarette prices to counter the impact of the excise duty hike.

Excise Duty and Price Hike Details

The excise duty increase, effective February 1, 2026, raised taxes by up to 60% in real terms, depending on cigarette length.

• Revised duty range: ₹2,050–8,500 per 1,000 sticks.
• Price hikes are aimed at limiting EBIT decline to ~2%, down from earlier expectations of 8–15%.

For example:

• ITC raised prices for its 84 mm segment (KSFT) from ₹17 to ₹24 per stick.
• 64 mm cigarettes now cost ₹7 per stick, up from ₹5.9.
• 69 mm Goldflake is expected to cost around ₹12, close to competitor Marlboro at ₹11.5.

ITC Share Price Movement

As of February 18, 2026, at 11:32 am IST, ITC share price (NSE: ITC) was trading at ₹330.90, up ₹5.45 or 1.67% for the day. The stock opened at ₹326.00 and recorded an intraday low of ₹324.80. ITC has a market capitalisation of ₹4.14 lakh crore and a P/E ratio of 11.84. Over the past 52 weeks, the stock has ranged between ₹302.00 and ₹444.20. It offers a dividend yield of 4.34%, with the latest quarterly dividend at ₹3.59 per share.

Read More: Best 10 Equity Mutual Funds for February 2026 by 5‑Year CAGR.

Conclusion

Cigarette makers like ITC and Godfrey Phillips have eased margin concerns by hiking prices, giving investors near-term clarity on profitability. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

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