Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best

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Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best

Wipro’s Q4 FY25 results reflect the challenges posed by a turbulent macroeconomic environment. Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best The company’s performance was marked by a decline in net profit and cautious revenue projections, underscoring the broader pressures facing the IT sector.


📉 Financial Performance Overview

  • Net Profit:Wipro reported a 7.8% year-on-year decline in consolidated net profit, amounting to ₹2,835 crore for Q4 FY25 citeturn0search2
  • Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best
  • Revenue:The company’s revenue from operations stood at ₹22,208.3 crore, reflecting a 4.2% decrease compared to the same quarter in the previous year citeturn0search2
  • Full-Year Metrics:For the fiscal year ending March 31, 2025, Wipro’s total revenue was ₹89,760.3 crore, a slight decline of 0.8% from the previous fiscal year. Net profit for the year fell by 2.6% to ₹11,045.2 crore citeturn0search2

🌐 Macroeconomic Challenges and Client Caution

The IT sector, including Wipro, has been navigating a landscape of economic uncertaint. Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best Clients have exhibited caution, leading to delays in decision-making and a reduction in discretionary spendin. This sentiment is echoed across the industry, with major players like Infosys also reporting subdued forecast. citeturn0search5


📊 Segment Performance and Deal Wins

  • *Verticals: While sectors such as energy, manufacturing, and resources experienced declines, the banking segment continued its growth trajectory for the third consecutive quartr. citeturn0news13
  • Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best
  • *Deal Wins: Wipro secured deals worth $4 billion in Q4 FY25, including a significant $650 million contract with Phoenix. This marks an increase from the $3.61 billion in deals secured during the same period the previous yer. citeturn0news13

🧑‍💼 Leadership Transition and Strategic Outlok

The quarter marked the beginning of Srini Pallia’s tenure as Wipro’sCO. Acknowledging the challenges ahead, Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best Pallia emphasized the need to accelerate growth and strengthen client relationsis. He highlighted the importance of focusing on large deal momentum and enhancing partnerships to navigate the uncertain economic landsape. citeturn0search3


📉 Market Reaction and Industry Implicatons

Following the announcement of the Q4 results and the cautious outlook, Wipro’s shares experienced a decline of55%. This contributed to a broader dip in India’s IT sector stocks, with the NIFTY IT index falling by approximatey2%. Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best Despite these challenges, financial stocks provided some support to the market, Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best with gains in companies like ICICI Bank and HDFCBank. citeturn0news12


🔮 Future Oulook

Wipro’s guidance for the first quarter of FY26 indicates a potential revenue decline of 1.5% to 3.5%, reflecting ongoing client caution and macroeconomic heawnds. Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best The company aims to navigate these challenges by focusing on operational efficiency, strategic deal-making, and strengthening client relatiosips. The broader IT industry will be closely watching how Wipro Brokerages downgrade Wipro, cut targets on weak Q4, muted outlook 2025 best and its peers adapt to these evolving condtions.


Note: The information provided is based on the latest available data and is subject to change as new information emerges.

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