Morningstar

Morningstar, Inc.

Equity Bottom-Up

Wipro’s management said that its first fiscal quarter was slower than expected after the company recorded a sequential decline in revenue growth. The sequential non-GAAP IT services revenue decline of 0.7% was still within the firm’s guidance of negative 1% to positive 1%, but we suspect Wipro’s true aim was to be in positive territory in order to set an optimistic tone for the rest of the year. Echoing other IT services peers, Wipro noted macroeconomic uncertainties and customer-specific issues…

Wipro, which started as a vegetable oil manufacturer in 1945, has grown to become India’s third-largest IT services exporter behind TCS and Infosys. We think Wipro will increase revenue in line with other Tier 1 Indian IT service vendors, given the firm's commitment to top-line growth. We believe its offshore mix and product relevance will appeal to organizations, given increasing budgetary pressures, time constraints, and internal IT quality concerns. In addition, the company's solid…

Wipro reported an in line end to the fiscal year with guided IT services revenue landing in the middle of our expectations. The overall yearly performance was characterized by middling top-line growth as the firm continued to restructure and transform the business toward being a high growth and in-demand provider of digital transformation services. We see this pivot as being a successful counterbalance to the legacy application and engineering outsourcing business, and the firm recorded…

India

Wipro Limited specializes in IT and computer related technologies. The Group's services encompass a number of areas, including software architecture, business intelligence systems, e-commerce, data warehousing, Internet access devices, network management, system administration, messaging systems, IT consulting and design. Wipro also has a presence in niche markets of consumer products.