WIPRO - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 19 Sept 25, 2:16 pm

Fundamental Rating: 4.3

📊 Core Financials Overview

Profitability

ROCE: 23.0% and ROE: 17.8% — strong, indicating efficient capital deployment and solid shareholder returns.

EPS: ₹11.6, with PAT rising from ₹2,923 Cr. to ₹3,696 Cr. — a robust 53.7% quarterly growth, reflecting operational momentum.

Debt-to-equity: 0.12 — low leverage, supporting long-term financial resilience.

Dividend Yield: 2.34% — attractive for income-focused investors.

Institutional Sentiment

FII holding declined (-0.19%), while DII increased (+0.31%) — mixed sentiment, with domestic investors showing cautious optimism.

💰 Valuation Metrics

Metric Value Insight

P/E Ratio 22.2 Below industry average (30.0) — suggests undervaluation.

P/B Ratio ~4.28 Reasonable for a large-cap IT services firm.

PEG Ratio -5.55 Negative — indicates earnings contraction or inconsistent growth.

Intrinsic Value ~₹260–₹275 (est.) Current price of ₹257 is slightly below fair value.

🧠 Business Model & Competitive Edge

Core Operations: Wipro Ltd. is a global IT services and consulting firm offering solutions in cloud, cybersecurity, AI, and digital transformation.

Strengths

Diversified portfolio across industries and geographies.

Strong brand equity and long-standing client relationships.

Strategic investments in AI, automation, and cloud services.

Challenges

PEG ratio and FII outflows suggest caution around growth trajectory.

RSI at 59.5 — neutral zone, MACD at 1.14 — mild bullish momentum.

📈 Entry Zone & Technicals

DMA 50: ₹252, DMA 200: ₹260 — price is hovering near both, indicating consolidation.

RSI: 59.5 — neutral zone.

MACD: 1.14 — bullish crossover.

📌 Entry Zone: ₹245–₹255 — attractive for accumulation on dips.

🕰️ Long-Term Holding Guidance

2025 Target: ₹260–₹320

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2026 Target: ₹260–₹280

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2030 Target: ₹325–₹360

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Holding Strategy: Wipro is a stable large-cap IT play with strong fundamentals, low debt, and consistent dividend payouts. Ideal for long-term investors seeking exposure to India’s digital transformation and global tech services. Accumulate during technical weakness and hold through cycles.

You can explore Wipro’s analyst ratings and financial outlook

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or review expert price targets through 2030

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for deeper insights.

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moneymintidea.com

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www.marketscreener.com

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