Wipro share price: Buy, sell, or hold? Here’s what top brokerages recommend

Wipro’s Q3FY25 performance has sparked mixed reactions among brokerages, leading to differing ratings and target price adjustments. Here’s a detailed analysis of the latest brokerage opinions:

Nomura

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  • Rating: Maintained ‘Buy’
  • Target Price (TP): ₹340
  • Key Insights: Nomura upgraded its FY25-27 EPS estimates by 2-5%, highlighting Wipro’s Q3FY25 beat across all parameters, especially margins. The company revised its capital allocation policy to return 70% of net income to shareholders, up from the existing 45-50%, in blocks of three years. Management sees continued strength in the Americas business as a growth driver.

Macquarie

  • Rating: Maintained ‘Outperform’
  • Target Price (TP): ₹330
  • Key Insights: Macquarie noted a significant EBIT margin beat coupled with a higher dividend payout. Wipro is preferred over Tech Mahindra for its turnaround plan, with an expected EBIT CAGR of 11.3% over FY25-27. The brokerage hoped for a stronger performance in the BFSI segment in Q3.

Morgan Stanley (MS)

  • Rating: Maintained ‘Underweight’
  • Target Price (TP): ₹250
  • Key Insights: MS highlighted that margins were ahead of estimates despite the wage hike impact. Q3FY25 results showed no negative surprises for Q4 guidance, with large deals in line with expectations. Growth was largely driven by the healthcare vertical, although MS maintained its cautious stance.

Citi

  • Rating: Maintained ‘Sell’
  • Target Price (TP): ₹280
  • Key Insights: Citi removed its negative catalyst watch on Wipro while maintaining its ‘Sell’ rating. Revenue was in line with expectations, and margins showed a significant beat. However, Citi expressed concerns about Wipro’s growth lagging behind peers in FY26. In the near term, the stock could benefit from potential EPS upgrades.

Brokerages remain divided in their opinions on Wipro, with targets ranging from ₹250 to ₹340. While some emphasize its margin recovery and improved capital allocation, others remain cautious about its growth trajectory compared to peers.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers are advised to consult with their financial advisor before making any investment decisions.