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This cigarette maker zooms 10%, hit record on Q1 show; buy, sell or hold?

Godfrey Phillips share price: Godfrey Phillips share price was buzzing in trade on Tuesday, August 5, 2025, with the share rising up to 9.99 per cent to hit a fresh record high of ₹9,891 per share. At 10:25 AM, Godfrey Phillips share price was trading 9.15 per cent higher at ₹9,815.10 per share. In comparison, BSE Sensex was trading 0.35 per cent lower at 80,735.61 levels. Why did Godfrey Phillips shares hit record high today? Godfrey Phillips shares surged to a record high on Tuesday after the company reported a 56 per cent year-on-year (Y-o-Y) jump in consolidated net profit for the June quarter (Q1FY26), aided by higher sales. The cigarette maker posted a consolidated net profit of ₹356.28 crore, up from ₹228.55 crore in the same period last year. Revenue from operations rose to ₹1,813.26 crore, compared to ₹1,358.81 crore a year ago. Total expenses also increased to ₹1,506.68 crore from ₹1,118.49 crore. Godfrey Phillips bonus issue The stock also rallied after the company's board approved a 2:1 bonus share issue, i.e., two new fully paid-up equity shares of ₹2 each for every one existing equity share held. The bonus issue will be carried out by capitalising general reserves and/or retained earnings and is subject to shareholder and regulatory approvals. 'The Record Date for determining the entitlement of the Shareholders of the Company to receive Bonus Equity Shares has been fixed as Tuesday, September 16, 2025,' Godfrey Phillips said. What do experts say? According to Ravi Singh, SVP of retail research at Religare Broking, Godfrey Phillips reported a net profit of ₹356 crore for the quarter, marking a strong 55 per cent increase on a Y-o-Y basis. Additionally, the company announced a 2:1 bonus share issue. 'The stock has recently given breakout above its key hurdle at ₹9,620 with gap up opening accompanied by strong volumes. Current price action is suggesting that stock might move towards the upside target of ₹12,000 mark. Investors are recommended to execute 'Buy on Dip' strategy in this stock with immediate support level of ₹9,700-9,600, while strong support at ₹9,000-8,700 zone. For upside hurdle ₹10,000 level is immediate resistance for now over which it can trigger towards its fresh targets,' Singh noted. Meanwhile, Ajit Mishra, SVP of technical research at Religare Broking said, Godfrey Phillips indicates a strong short-term bullish structure. After a prolonged consolidation phase, the stock has broken out sharply above previous resistance levels with a significant uptick in volume, confirming strong buying interest. It is currently trading well above its key moving averages – the 20, 50 and 200 EMAs – which are all sloping upwards, signaling a well-established uptrend. 'With the price closing at ₹9,840, up by over 9 per cent, and strong support now seen around the ₹8,800–9,000 zone, the momentum remains positive, with upside potential of ₹11,000 ahead. Meanwhile, any dip near the ₹9,300-9,500 zone could offer a low-risk entry opportunity for short-term traders. For existing positions, one may consider holding long with a stop at ₹9,000 level,' Mishra added. About Godfrey Phillips Godfrey Phillips India, a flagship company of Modi Enterprises – KK Modi Group, is among the largest fast moving consumer goods (FMCG) companies in India. The company's cigarette brands include Four Square, Red & White, Cavanders, Stellar, Focus, Originals International and others. Godfrey Phillips also manufactures and distributes the global cigarette brand, Marlboro, in India under arrangement with Philip Morris. Along with a strong cigarette and tobacco portfolio, it also has a strong confectionery portfolio with Funda and has unique offerings for international markets.