Wipro Stock Falls By 4% After Q4 Missed Estimates: Nomura Recommends Buy, JP Morgan Neutral, Kotak Gives Sell

Wipro Ltd. share price witnessed sharp selling pressure on April 17, after missing estimates in Q4FY27. Wipro stock nosedived by nearly 4% and struggled to hold above Rs 200 mark. Its ADR also crashed by 7% yesterday. The tech giant has given lower FY27 guidance against estimates, which further added to woes. Among brokerages, Nomura has still maintained BUY rating, but JP Morgan kept Neutral stance. On the other hand, Kotak Institutional Equities assigned a SELL rating.

Wipro Stock Price Crashes Today:

At the time of writing, Wipro traded at Rs 203.60 apiece, down by 3.14% on BSE with market cap at Rs 2,13,598.61 crore. The stock is near its day's low.

In the opening bell, Wipro fell by 3.61% to hit an intraday low of Rs 202.60 apiece.

Yesterday, Wipro's ADR dropped by 7% to hit an intraday low of $2.115 before closing at $2.160.

Wipro Q4 Results:

In the fourth quarter of FY27, Wipro reported a consolidated net profit of Rs 3,501.8 crore, registering a decline of 1.9% year-on-year but an upside of 12.3% on quarter-on-quarter basis. But, Wipro also said if adjusted to the impact of labour code changes, then net income for the quarter under review stood at Rs 3,490 crore, which would squeeze the QoQ growth to 3.7%.

On the top-line front, the company's revenue growth came in at 2.9% QoQ and 7.7% YoY to Rs 24,236.3 crore. In terms of dollar, IT services segment revenue was at $2,651.0 million, increase of 0.6% QoQ and 2.1% YoY. While the non-GAAP constant- currency IT Services segment revenue increased 0.2% QoQ and decreased 0.2% YoY.

But then Wipro announced that it is expecting IT services business revenue in the range of $2,597 million to $2,651 million for Q1 of FY27. This would be a de-growth at the lower range target. The revenue guidance translates to sequential guidance of (-)2.0% to 0% in constant currency terms.

Wipro Share Price Nomura Recommendation:

Nomura highlighted that Wipro's Q4 results were mixed and Q1FY27 guidance missed estimates. However, deal wins remain steady and EBIT margin to stay in a tight band despite headwinds. The brokerage has raised its FY27-28 EPS by 1-2% and it believes that dividend yield supports the stock. Hence, Nomura has given BUY recommendation with target price of Rs 250.

Wipro Share Price JP Morgan Recommendation:

Despite Q4 results missed estimates on revenue and being overall mixed, JP Morgan pointed out that Wipro's margins beat estimates. However, the global brokerage believes client issue and deal delays could weigh in Q1 growth on a sequential basis. Hence, Morgan has assigned Neutral rating with target price of Rs 200.

Wipro Share Price Kotak Institutional Equities Recommendation:

Kotak analysts stated that Wipro's Q4 was weak with muted Q1FY27 guidance. Multiple concerns which indicate stress, underperformances across segments continue. It added, margin levers are getting stretched and rising reliance on M&A is a concern. Hence, they cut FY27-28 EPS target by 2%. Accordingly, these analysts have recommended SELL for a target price of Rs 190.

Wipro Buyback 2026:

Wipro has proposed a buyback offer of at least 60 crore equity shares worth Rs 15,000 crore. The issue price has been fixed at Rs 250 per share with a face value of Rs 2 each. The buyback offer represents at least 5.7% of the total paid-up equity share capital of the company.

The last buyback of Wipro was in April 2023, where it bought back shares worth Rs 12,000 crore at Rs 223 per share, which was at a premium of 18% for investors. Before that Wipro carried buyback of Rs 9,500 crore in October 2020 and Rs 10,500 crore in April 2019.

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