Wipro (NYSE:WIT) Shares Gap Down After Earnings Miss

Shares of Wipro Limited (NYSE:WIT) gapped down prior to trading on Friday following a weaker than expected earnings announcement. The stock had previously closed at $2.97, but opened at $2.79. Wipro shares last traded at $2.7950, with a volume of 1,218,660 shares changing hands.

The information technology services provider reported $0.03 earnings per share for the quarter, missing the consensus estimate of $0.04 by ($0.01). Wipro had a net margin of 15.06% and a return on equity of 15.80%.

Wall Street Analyst Weigh In

Several research firms have recently commented on WIT. CLSA lowered shares of Wipro from an “outperform” rating to a “hold” rating in a research report on Monday, October 20th. Weiss Ratings reiterated a “hold (c)” rating on shares of Wipro in a research report on Thursday, October 30th. Three equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Reduce”.

Institutional Trading of Wipro

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. West Family Investments Inc. grew its stake in Wipro by 37.3% during the second quarter. West Family Investments Inc. now owns 533,167 shares of the information technology services provider’s stock valued at $1,610,000 after acquiring an additional 144,972 shares in the last quarter. HB Wealth Management LLC boosted its holdings in shares of Wipro by 12.2% during the 2nd quarter. HB Wealth Management LLC now owns 53,733 shares of the information technology services provider’s stock valued at $162,000 after purchasing an additional 5,856 shares during the last quarter. QRG Capital Management Inc. grew its position in shares of Wipro by 78.8% during the second quarter. QRG Capital Management Inc. now owns 123,313 shares of the information technology services provider’s stock valued at $372,000 after purchasing an additional 54,337 shares in the last quarter. Ethic Inc. increased its holdings in shares of Wipro by 20.1% in the third quarter. Ethic Inc. now owns 1,244,542 shares of the information technology services provider’s stock worth $3,273,000 after purchasing an additional 208,091 shares during the last quarter. Finally, Creative Planning increased its holdings in shares of Wipro by 21.2% in the second quarter. Creative Planning now owns 3,730,772 shares of the information technology services provider’s stock worth $11,267,000 after purchasing an additional 652,079 shares during the last quarter. Institutional investors own 2.36% of the company’s stock.

Wipro Price Performance

The business has a 50-day moving average of $2.81 and a 200 day moving average of $2.79. The company has a market capitalization of $29.16 billion, a PE ratio of 18.57, a P/E/G ratio of 18.34 and a beta of 1.03.

Wipro Company Profile

Wipro Limited (NYSE: WIT) is an Indian multinational corporation that provides information technology, consulting and business process services. Headquartered in Bengaluru, India, the company traces its origins to 1945 when it was founded as Western India Vegetable Products and later diversified into technology and IT services. Today Wipro positions itself as a provider of enterprise IT solutions and digital transformation services for large and mid-sized organizations across multiple industries.

The company’s service portfolio includes application development and maintenance, cloud and infrastructure services, data analytics and AI, cybersecurity, digital consulting, product engineering and research and development, as well as business process services.