Overview
- The stock fell roughly 9–10% intraday on January 19 after Q3 results and guidance, with ADRs having dropped more than 7% following the announcement.
- Wipro guided for 0–2% sequential revenue growth in constant currency for Q4, including about 150 bps from the Harman acquisition, citing fewer working days and delayed ramp-ups in BFSI and high-tech deals.
- Total deal bookings were about $3.3–3.34 billion in Q3, the weakest in several quarters and the lowest in six, reducing near-term revenue visibility as large-deal ramp-ups slip.
- Q3 consolidated net profit declined 7% to Rs 3,119 crore, while revenue rose to Rs 23,556 crore and IT services operating margin stood near 17.6% under pressure from labour-code impacts and restructuring costs.
- Analysts reset views: Morgan Stanley cut the stock to underweight with a Rs 242 target, Jefferies kept underperform at Rs 220, while Nomura (Rs 290) and JM Financial (Rs 310) stayed positive; the board declared an interim dividend of Rs 6 per share with January 27 as the record date.