ICICI Securities maintains Reduce call on Wipro, lowers target price to Rs 230
Wipro's key products/revenue segments include Software Services, Networking, Storage equipment, Servers, Software Licenses for the year ending 31-Mar-2024.
Financials
For the quarter ended 31-03-2025, the company has reported a Consolidated Total Income of Rs 23692.50 crore, up 1.58% from last quarter Total Income of Rs 23322.90 crore and up 3.64% from last year same quarter Total Income of Rs 22861.20 crore. The company has reported net profit after tax of Rs 3559 crore in the latest quarter.
The company?s top management includes Mr.Rishad A Premji, Mr.Srinivas Pallia, Mr.N S Kannan, Mr.Ireena Vittal, Mr.Patrick Dupuis, Dr.Patrick J Ennis, Mr.Deepak M Satwalekar, Ms.Tulsi Naidu, Mr.Azim H Premji, Mr.Paivi Rekonen. Company has Deloitte Haskins & Sells LLP as its auditors. As on 31-03-2025, the company has a total of 1,047 crore shares outstanding.
Live Events
Investment Rationale
Wipro's Q1FY26 revenue guidance of -3.5% to -1.5% QoQ CC is the weakest ever (except Covid and GFC quarters), implying heightened uncertainty in client decision making due to global tariff war. Guidance factors in a pause in large transformation projects, ramp downs and delays in decision making. Large deal wins were strong (+17% YoY), but total bookings were down 4% YoY due to softness in smaller discretionary deals (down 13.4% YoY) in FY25. Weak guidance implies continued underperformance and yet another year of revenue decline for
Promoter/FII Holdings
Promoters held 72.73 per cent stake in the company as of 31-Mar-2025, while FIIs owned 8.35 per cent, DIIs 7.45 per cent.
(You can now subscribe to our
(You can now subscribe to our ETMarkets WhatsApp channel ICICI Securities maintains a Reduce call on Wipro with a revised target price of Rs 230 (Rs 241 earlier). The current market price of Wipro Ltd. is Rs 238.95. Wipro, incorporated in 1945, is a Large Cap company with a market cap of Rs 248084.90 Crore) operating in IT Software sector.Wipro's key products/revenue segments include Software Services, Networking, Storage equipment, Servers, Software Licenses for the year ending 31-Mar-2024.For the quarter ended 31-03-2025, the company has reported a Consolidated Total Income of Rs 23692.50 crore, up 1.58% from last quarter Total Income of Rs 23322.90 crore and up 3.64% from last year same quarter Total Income of Rs 22861.20 crore. The company has reported net profit after tax of Rs 3559 crore in the latest quarter.The company?s top management includes Mr.Rishad A Premji, Mr.Srinivas Pallia, Mr.N S Kannan, Mr.Ireena Vittal, Mr.Patrick Dupuis, Dr.Patrick J Ennis, Mr.Deepak M Satwalekar, Ms.Tulsi Naidu, Mr.Azim H Premji, Mr.Paivi Rekonen. Company has Deloitte Haskins & Sells LLP as its auditors. As on 31-03-2025, the company has a total of 1,047 crore shares outstanding.Wipro's Q1FY26 revenue guidance of -3.5% to -1.5% QoQ CC is the weakest ever (except Covid and GFC quarters), implying heightened uncertainty in client decision making due to global tariff war. Guidance factors in a pause in large transformation projects, ramp downs and delays in decision making. Large deal wins were strong (+17% YoY), but total bookings were down 4% YoY due to softness in smaller discretionary deals (down 13.4% YoY) in FY25. Weak guidance implies continued underperformance and yet another year of revenue decline for Wipro in FY26. ICICI Securities cuts its EPS estimates by 5%/4% for FY26/27E led by a cut in revenue estimates and currency (INR/USD) rate. They continue to value Wipro at 18x from Q4FY26 to Q3FY27 EPS of Rs 13 to arrive at a revised target price of Rs 230. The brokerage maintains REDUCE.Promoters held 72.73 per cent stake in the company as of 31-Mar-2025, while FIIs owned 8.35 per cent, DIIs 7.45 per cent.
(Disclaimer: Recommendations given in this section or any reports attached herein are authored by an external party. Views expressed are that of the respective authors/entities. These do not represent the views of Economic Times (ET). ET does not guarantee, vouch for, endorse any of its contents and hereby disclaims all warranties, express or implied, relating to the same. Please consult your financial adviser and seek independent advice.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
Business Standard
15 minutes ago
- Business Standard
DoT issues ₹7,800 cr demand notice to Tata Communications over AGR dues
The Department of Telecom has issued a "show-cause-cum-demand notice" of about Rs 7,800 crore to Tata Communications over adjusted gross revenue dues, according to an official note by the company. The demand has been raised by the Department of Telecom (DoT) for adjusted gross revenue (AGR) from 2005-06 till 2023-24, as per the note dated July 17. "As at June 30, 2025, the company has received 'Show Cause-cum Demand Notices' ('demand notices') from Department of Telecommunications of India aggregating to Rs 7,827.55 crore for financial years ranging from FY 2005-06 to FY 2023-24, which have been revised over a period of time," Tata Communications Managing Director AS Lakshminarayan said. He said the demand notices include Rs 276.68 crore towards disallowance of deductions claimed by the company on payment basis for the financial year (FY) 2010-11 under ISP (internet service provider) licence and FY07 and FY10 under NLD (national long distance) licence. Tata Communications has existing appeals relating to its ILD (International Long Distance), NLD, and ISP licences that were filed in the past and are pending at the Supreme Court and telecom tribunal TDSAT. Lakshminarayan said the company's appeals are not covered by the apex court judgement dated October 24, 2019, on AGR under the old telecom licence regime called UASL. "Further, the company believes that all its licences are different from UASL, which was the subject matter of Hon'ble Supreme Court judgement of October 24, 2019. The company, based on its assessment and independent legal opinions, believes that it will be able to defend its position," Lakshminarayan said. As per initial calculation by the government, telecom operators had liability to pay around Rs 1.65 lakh crore in total AGR dues till FY19. The calculation as of March 2022 showed that the AGR liability on Bharti Airtel was Rs 31,280 crore, Vodafone Idea Rs 59,236.63 crore, Reliance Jio Rs 631 crore, BSNL Rs 16,224 crore, MTNL Rs 5,009.1 crore up to financial year 2018-19. The government calculation at that time did not include liability on Tata Communications. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Time of India
43 minutes ago
- Time of India
CPM accuses Union govt of neglecting working class, favouring corporates
Mysuru: CPM state executive secretary U Basavaraj on Sunday accused the Union govt of adopting pro-corporate friendly policies, neglecting the interests of farmers, labourers, and other working-class people in the nation. The Union govt is giving a red carpet welcome to corporate houses, while the common people were affected by inflation and the rise in prices of essential commodities, he stated. He was addressing a rally organised by the district unit of CPM at Gandhi Square in the city. He said that even though the Union govt mobilised over Rs 50 lakh crore revenue every year from the states, with Karnataka contributing Rs 4 lakh crore in the form of tax, the Union govt has failed to protect the interest of the working class to curb inflation. He accused the Union govt of giving a red carpet welcome to corporate houses to loot the forest and mining resources of the nation when the common people were affected by inflation. Basavaraj also stated that even though the Union govt is distributing free ration to the poor under the public distribution system to over 80 crore people, people are dying from hunger. India ranked 105th in the Global Hunger Index, he stated, adding that still 45%t of the population are unemployed. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Pune: Unsold Furniture Liquidation 2024 (Prices May Surprise You) Unsold Furniture | Search Ads Learn More Undo The income gap between the rich and poor has increased at an alarming rate every year. If 10% of the population owns 80% of the resources, while 90% of the population owns only 10% of the property, he said. State executive committee member HS Sunand asked the Union govt to eliminate cross-border terrorism and applauded soldiers for safeguarding the nation. Poor people were affected by inflation. Instead of resolving such genuine issues, the govt is raking up emotive issues to cover their failures, she stated. District CPM secretary Jagadeesh Soorya urged the govt to strengthen govt-run institutions, schools, and public sector banks, besides initiating measures to prevent farmer suicides, and to open govt-run engineering, law colleges, and Mohalla clinics.
Time of India
43 minutes ago
- Time of India
Kalyana Karnataka growth plan gets a boost
Kalaburagi: Governor Thaawar Chand Gehlot approved the Kalyana Karnataka Regional Development Board's (KKRDB) action plan for 2025-26 on July 24. Speaking to TOI, KKRDB Chairman and Jewargi MLA Ajay Singh said that chief minister Siddaramaiah forwarded the action plan to the Raj Bhavan, which received swift approval. This approval enables the board to implement additional development projects in the welfare sector. In conversation with TOI, Ajay Singh mentioned that the 2023-24 action plan received gubernatorial approval in Dec, followed by the Manjali meeting on Aug 29. By March 31, KKRDB implemented various projects worth 2009 crores across education, health, and infrastructure sectors. For 2024-25, following the board meeting on July 1, the governor approved the action plan in August. Recently, governor Gehlot sanctioned the Rs 5,000 crore action plan for 2025-26, which was formulated on May 10 during a board meeting with MLAs, MPs, and ministers in July's third week. Ajay Singh expressed that this approval would facilitate increased development activities by the board. The planning process incorporates the CDI index identified in Dr Nanjundappa's committee report. The governor approved the action plan detailing grant allocations under micro and macro schemes. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 20 Compelling Reasons to Start Growing Your Own Food Today Learn More Undo Following the KKRDB board meeting on May 10, 2025, the action plan for 2025-26 was structured according to population, encompassing micro, macro, discretionary grants, and administrative expenditure, as stated by Ajay Singh. The action plan, allocated Rs 5,000 crore in accordance with the chief minister's budget, received clearance from the finance department. With the governor's recent approval, the board can now proceed with allocating grants for various development initiatives, according to Ajay Singh. Ajay Singh visited the Raj Bhavan to express gratitude to the governor, whose July approval provided fresh impetus to Kalyana Nadi's development.
