Education
About Us
Working with TipRanks
Follow Us
Wipro Limited (WIT)
NYSE:WIT
Top Page
Wipro
(NYSE:WIT)68Neutral
Wipro (WIT) vs. S&P 500 (SPY)
Market Cap
$33.55B
Dividend Yield1.91%
Average Volume (3M)5.68M
Price to Earnings (P/E)30.1
Beta (1Y)0.87
Revenue Growth-3.41%
EPS Growth67.87%
CountryUS
Employees234,000
SectorTechnology
Sector Strength48
IndustrySoftware
Share Statistics
EPS (TTM)0.11
Shares Outstanding10,471,552,000
10 Day Avg. Volume4,161,817
30 Day Avg. Volume5,679,946
Financial Highlights & Ratios
PEG Ratio0.44
Price to Book (P/B)N/A
Price to Sales (P/S)3.28
Price to Cash Flow (P/CF)N/A
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$2.94Price Target Upside-11.45% Downside
Rating ConsensusHold
Number of Analyst Covering6
Wipro Business Overview & Revenue Model
Company DescriptionFounded in 1945, India-based Wipro Ltd. is a global information technology (IT), consulting and outsourcing company, which engages in the development and integration of solutions. It operates through the following segments: IT Services, IT Products, and India State Run Enterprise Services (ISRE).
How the Company Makes MoneyWipro makes money primarily through the provision of IT services and solutions. The company's revenue model is based on offering comprehensive IT consulting and outsourcing services to enterprises across diverse industries. Key revenue streams include application development and maintenance, systems integration, IT infrastructure management, and business process outsourcing. Additionally, Wipro generates income through digital transformation services, which encompass analytics, artificial intelligence, cloud computing, and cybersecurity solutions. Strategic partnerships with technology vendors and industry leaders bolster Wipro's service offerings and enhance its market reach, contributing significantly to its earnings.
Wipro Financial Statement Overview
Summary
Wipro maintains a stable financial position with strong profitability and effective cash management. The company's low leverage and efficient use of equity capital provide a solid foundation for future growth, though revenue growth has slowed.Income Statement
Wipro's income statement is strong, with consistent gross profit margins around 30% and a net profit margin improving to 13.2% in TTM. Revenue growth has been modest, with a decline in the latest TTM period. EBIT and EBITDA margins remain healthy, indicating stable operational efficiency.80
Positive
Balance Sheet
The balance sheet demonstrates solid financial health with a low debt-to-equity ratio of 0.24, indicating prudent leverage. The equity ratio is strong at 64.9%, showing a stable capital structure. ROE is robust, reflecting efficient use of equity capital.85
Very Positive
Cash Flow
Cash flow analysis shows a strong free cash flow growth rate of 50.6% in the latest TTM, indicating improved cash generation. Operating cash flow to net income ratio is healthy at 1.58, but the free cash flow to net income ratio has room for improvement.75
Positive
| Breakdown | |||||
| TTM | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 | Mar 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 886.79B | 897.60B | 904.88B | 790.93B | 619.43B | 610.23B | Gross Profit |
| 267.39B | 266.11B | 259.43B | 235.06B | 196.22B | 174.15B | EBIT |
| 142.79B | 136.10B | 139.61B | 140.29B | 123.05B | 105.73B | EBITDA |
| 179.71B | 193.83B | 189.38B | 165.30B | 168.41B | 122.28B | Net Income Common Stockholders |
| 117.41B | 110.45B | 113.50B | 122.19B | 107.95B | 97.22B |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 383.28B | 407.79B | 401.87B | 351.28B | 346.12B | 335.19B | Total Assets |
| 1.13T | 1.15T | 1.18T | 1.08T | 831.43B | 817.06B | Total Debt |
| 179.14B | 164.65B | 174.67B | 175.93B | 104.51B | 97.24B | Net Debt |
| 88.02B | 67.70B | 82.79B | 72.09B | -65.28B | -47.26B | Total Liabilities |
| 394.16B | 401.24B | 394.07B | 420.51B | 276.84B | 257.73B | Stockholders Equity |
| 687.54B | 749.88B | 781.16B | 658.16B | 553.10B | 557.46B |
| Cash Flow | Free Cash Flow | ||||
| 174.31B | 165.71B | 115.77B | 90.64B | 127.97B | 77.15B | Operating Cash Flow |
| 185.95B | 176.22B | 130.60B | 110.80B | 147.55B | 100.64B | Investing Cash Flow |
| -168.68B | 11.68B | -84.06B | -224.50B | 7.74B | 34.01B | Financing Cash Flow |
| -11.20B | -182.57B | -60.88B | 46.59B | -128.84B | -151.00B |
Wipro Technical Analysis
Neutral
3.32
Price Trends
3.53
Negative
3.44
Negative
3.21
Positive
Market Momentum
-0.08
Positive
36.42
Neutral
18.23
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WIT, the sentiment is Neutral. The current price of 3.32 is below the 20-day moving average (MA) of 3.52, below the 50-day MA of 3.53, and above the 200-day MA of 3.21, indicating a neutral trend. The MACD of -0.08 indicates Positive momentum. The RSI at 36.42 is Neutral, neither overbought nor oversold. The STOCH value of 18.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for WIT.
Wipro Risk Analysis
Wipro disclosed 59 risk factors in its most recent earnings report. Wipro reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Wipro Peers Comparison
Overall Rating
UnderperformOutperform
Sector (59)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $41.42B | 18.58 | 16.21% | 1.44% | 1.98% | 7.16% | |
76 Outperform | $216.28B | 28.99 | 27.10% | 1.60% | 2.75% | 10.53% | |
75 Outperform | $80.41B | 24.69 | 29.99% | 2.10% | 3.08% | 11.92% | |
68 Neutral | $33.55B | 30.07 | 14.73% | 1.91% | -3.41% | 67.87% | |
67 Neutral | $234.79B | 39.40 | 24.14% | 2.64% | 1.45% | -20.56% | |
59 Neutral | $22.39B | 11.53 | -18.05% | 2.31% | 5.00% | -25.89% | |
47 Neutral | $3.26B | 267.98 | -2.51% | ― | -5.65% | 78.20% |
* Technology Sector Average
Performance Comparison
WIT
Wipro
3.32
0.32
10.67%
ACN
Accenture
348.26
-26.32
-7.03%
CTSH
Cognizant
84.28
8.78
11.63%
INFY
Infosys
20.06
1.26
6.70%
IBM
International Business Machines
251.35
61.57
32.44%
DXC
DXC Technology
18.22
-2.16
-10.60%
Wipro Earnings Call Summary
Earnings Call Date: Jan 17, 2025 | % Change Since: 2.47% | Next Earnings Date: Apr 17, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture with significant achievements in operational efficiency, strategic deal wins, and AI advancements. However, the company faced challenges with revenue declines in certain regions and sectors, indicating a balanced outlook.Highlights
Record Operating Margins
Achieved operating margins of 17.5%, marking a 12-quarter high with an expansion of 0.7% quarter-on-quarter and 1.5% year-on-year.
Significant Deal Wins
Closed 17 large deals worth $1 billion, including a deal with a leading American retail company and a Middle Eastern airline for technology modernization.
Growth in Key Sectors
Health sector maintained momentum with 6.7% sequential growth and 4.5% year-on-year growth. BFSI sector grew 3.4% year-on-year despite a quarterly decline.
AI and Innovation Commitment
Invested in AI education with 50,000 employees holding advanced AI certification, and early adoption of Agentic AI for impactful client results.
EPS and Net Income Growth
EPS and net income grew 24% year-on-year and 5% sequentially, driven by margin expansion and better treasury returns.
Lowlights
Revenue Decline in Europe and APMEA
Europe and APMEA regions saw declines of 2.7% and 2.1% sequentially, and 4.6% and 8% year-on-year, respectively.
Challenges in Technology and Communications
The Technology and Communications sector saw a decline of 0.6% quarter-on-quarter and 5.3% year-on-year.
Flat Sequential Revenue Growth
IT Services revenue for Q3 was $2.63 billion, reflecting a minimal sequential growth of 0.1% and a degrowth of 0.7% year-on-year.
Negative Growth in Energy, Manufacturing, and Resources
This sector grew only 0.4% quarter-on-quarter and declined 8.7% year-on-year.
Company Guidance
In the Q3 2025 earnings call for Wipro Limited, the company provided guidance for the upcoming quarter, projecting a sequential growth range of -1% to +1% in constant currency terms, equating to $2.602 billion to $2.655 billion in US dollar terms. During the call, Wipro's CEO, Srinivas Pallia, highlighted the company's achievements, including a 0.1% sequential growth in IT Services revenue, reaching $2.63 billion, and a TCV of $3.5 billion in bookings. Operating margins expanded to 17.5%, marking a 12-quarter high and a year-on-year increase of 1.5%. The company closed 17 large deals valued at $1 billion and reported strong performance in the Americas, with health and technology sectors leading growth. Despite challenges in Europe and APMEA, Wipro remains optimistic about future growth driven by AI investments and strategic market initiatives.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.