Reduce Wipro; target of Rs 154: ICICI Securities
ICICI Securities downgraded Wipro, setting a target price of Rs 154. The company's Q3FY27 revenue growth is expected to be -1.5% to +0.5% QoQ CC, with H1FY27 bookings down 38% YoY. Management anticipates better growth in Q4FY27, but broad-based recovery is not yet evident.
How this was made
The 30-second read
Why it matters
The guidance downgrade suggests near‑term earnings pressure for Wipro, which could trigger a sell‑off among short‑term traders.
Market read
The new guidance is a primary disclosure for Wipro, likely influencing its stock and related Indian IT equities.
What to watch
Potential upside from new large contracts or government IT spend not reflected in current guidance.
Background
ICICI Securities released an analyst report lowering Wipro's target price to Rs 154, citing muted revenue growth and a steep decline in bookings.
Market effects
IT services sector may see pressure as Wipro guidance signals weaker demand.
Indian market could be modestly affected by the downgrade in Wipro outlook.
Limited, primarily relevant to investors with exposure to Indian tech stocks.
Counterpoint
If Wipro can turn around bookings in Q4, the stock may be undervalued after this cautious guidance.
Key entities
- CompanyWipro Ltd
Indian IT services firm receiving a lowered target price.
- Research FirmICICI Securities
Issuer of the analyst report providing the new guidance.
