Shares of Wipro fell 2.26% to ₹266.05 in early trading on March 28, 2025, following a cautious note by Goldman Sachs, which reiterated its ‘Sell’ rating on the stock. The brokerage has maintained a target price of ₹256, highlighting macroeconomic headwinds that continue to pressure India’s IT services sector.
Goldman Sachs has revised its FY26 revenue growth forecast for the sector to 4% year-on-year in constant currency terms—down 230 basis points from its previous estimate. This projection is only slightly higher than the 3.5% growth forecast for FY25, reflecting a muted recovery outlook.
The brokerage cited rising macroeconomic uncertainty, especially in the US, as a key reason for its conservative stance. Its US economists recently downgraded the 2025 GDP growth forecast from 2.4% to 1.7%, while also raising the 12-month recession probability to 20%, from 15% previously, driven by tariff-related pressures.
Despite Wipro’s recent success in clinching large deals, Goldman Sachs remains cautious due to the broader economic backdrop and potential impact on tech spending.
In contrast, UBS maintains a relatively optimistic view, expecting more upside than downside for Indian IT stocks in the near term, though Wipro continues to face challenges in outperforming peers.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
