Wipro is an Indian multinational company that caters to technology solutions, consulting, and business process services (BPS).
Wipro was started on 29 December 1945 by Mohamed Premji, grandfather of Wipro’s chairman Azim Premji.
Let’s discuss fundamental and technical analysis along with other important factors to figure out Wipro’s share price target by 2025.
What is the Price Target of Wipro Share by 2025?
Wipro’s Share price is currently trading around Rs 400. Wipro’s share price has been on a downfall since January 2022 and it has been corrected by almost 45%.
But Wipro’s vast experience and global presence can help it take advantage of the technological revolution happening around the world.
As per expert analysts’ opinions, Wipro’s price target for 2025 is expected to be around Rs. 720-725 per share. Most analysts have a positive outlook, expecting notable growth in Wipro’s share price.
Fundamental Analysis of Wipro Stocks
You need to analyze Wipro’s financial performance, growth opportunities, and market trends to evaluate the potential price target of Wipro’s stock by 2025.
In the fiscal year 2022-2023, Wipro’s revenue increased by 14% to INR 90,488 crore compared to the previous fiscal year. However, the IT giant’s net profit decreased by 7.14% from Rs 12,243cr to Rs 11,366 cr from the previous year.
This profit fall is due to new recruitments eventually increasing the overall employees’ costs to the company and the acquisition of The Capital Markets Company (CAPCO), a global tech-management consultancy company for ~1.5 billion USD (~11,200 crores INR).
Technical Analysis of Wipro Shares
Wipro has shown a bearish trend for the last one-and-a-half years since January 2022. However, the IT stock is showing an upward momentum since April 2023 surpassing key resistance levels at 400.
Technical indicators, such as moving averages and relative strength index (RSI), suggest positive momentum and a potential continuation of the upward trend.
These findings align with Wipro’s strong fundamentals and positive market sentiment towards the IT sector.
Factors Affecting Wipro’s Share Price in 2025
Some important factors that can affect Wipro’s share price are as below –
- Industry and Market Trends: Wipro is well-positioned to benefit from the increasing demand for technology solutions especially in emerging technologies such as AI, robotics process automation, cognitive technologies, and analytics services.
- Internal Factors: Wipro’s internal factors such as strategic initiatives, investments in research and development, talent acquisition, and strategic partnerships, can enhance its competitive advantage and drive growth. Wipro’s ability to adapt to evolving market dynamics, deliver innovative solutions, and effectively manage its operations will be key factors in achieving its price targets.
- External Factors: External factors, such as macroeconomic conditions, regulatory changes, and global market dynamics, can impact Wipro’s share price. Since Wipro’s most of business comes from the USA and European countries, a recession in these regions can impact Wipro’s performance.
Wipro’s Financial Performance in Recent Years
Wipro has showcased consistent revenue growth of 11% YoY and 7% YoY profit growth in the last 5 years. Wipro’s revenue figures for the last five fiscal years are in the table below.
Fiscal Year | Revenue (in INR crore) | Growth Rate |
FY 2018-19 | 59,019 | 8.32 |
FY 2019-20 | 61,138 | 3.59 |
FY 2020-21 | 61,935 | 1.30 |
FY 2021-22 | 79,312 | 28.06 |
FY 2022-23 | 90,488 | 14.09 |
In terms of profitability, Wipro has exhibited positive trends. Here are the company’s profit statistics over the last five fiscal years:
Fiscal Year | Net Profit (in INR crore) | Growth Rate |
FY 2017-18 | 9,018 | 12.68 |
FY 2018-19 | 9,772 | 8.36 |
FY 2019-20 | 10,868 | 11.22 |
FY 2020-21 | 12,243 | 12.65 |
Wipro’s consistent revenue growth and relatively stable profitability highlight the company’s resilience and ability to adapt to changing market dynamics.
Conclusion
In conclusion, Wipro presents an optimistic outlook with a potential target price of INR 720 to INR 725 by 2025, according to analysts. The company’s strong fundamentals, strategic initiatives, and favorable industry trends position it well for future growth.
While this article can provide an overview of Wipro’s overall performance, you should conduct comprehensive research and analysis to evaluate the company’s financial health and its potential impact on Wipro’s future price target.
You can also read about other stocks’ target prices –
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FAQs
Investing in Wipro for the long term can be a favorable choice considering the company’s strong presence in the IT industry, diversified service offerings, and robust financial performance. However, it’s important to conduct thorough research, consider your investment goals and risk tolerance, and diversify your portfolio.
Like any investment, investing in Wipro comes with certain risks. Factors such as intense competition, changing technology landscape, currency fluctuations, and global economic uncertainties can impact Wipro’s performance and share price. It’s crucial to stay informed about industry trends, monitor the company’s financial health, and evaluate risk factors before making investment decisions.
Over the past five years, Wipro’s stock has performed very well. Wipro stock has given an amazing 112% return in last 5 years.
According to experts at Sharekhan, Wipro can breach 420 price target in the next few months.
For Wipro, potential catalysts include robust revenue growth, expansion into new markets, strategic acquisitions, technological advancements, global economic conditions and client wins.