Wipro shares down 6% post Q4 results

Wipro shares declined 6 per cent following Q4 results. The IT major projects a weak June quarter outlook, lower than what the market anticipated, amid global uncertainties.

Declaring Q4FY25 results post-market hours on Wednesday, the company had guided revenue degrowth of 3.5 to 1.5 per cent in constant currency terms (cc) for its IT services segment in Q1FY26 citing macroeconomic uncertainties.

A majority of brokerages have slashed the target prices on the stock.

Nuvama Institutional Equities has downgraded the stock to hold at a reduced target price of ₹260 from ₹300 earlier.

The brokerage emphasised Wipro’s weak Q1FY26 guidance driven by elevated levels of macro uncertainty due to tariffs, makes it difficult for it to report positive growth in FY26 – thus derailing its turnaround thesis.

Nuvama had earlier upgraded Wipro considering its high exposure to discretionary spend and relatively inexpensive valuations.

With the rapid deterioration of macro, leading to uncertainty around discretionary spends and Wipro’s valuation becoming similar to peers (TCS, Infosys and HCL) – we do not see either of the two premises holding up any longer, Nuvama added.

Domestic brokerage Motilal expects a 1.9 per cent y-o-y cc revenue decline in FY26, with operating margins at 17.2 per cent. It has also slashed EPS estimates for FY26/FY27 by 4 per cent to account weak guidance and sustained demand softness in key verticals and regions .Motilal has reiterated sell call on at ₹215.

Shares traded 5.57 per cent lower at ₹233.85 on the NSE as at 9.58 am, after hitting a low of ₹232.15.

The stock opened at ₹235, down from previous close of ₹247.65.

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Published on April 17, 2025