Wipro (NYSE:WIT) Stock Price Down 4.6% - Should You Sell?

Key Points

• Wipro shares fell about 4.6% on Thursday to around $2.165 (intraday low $2.15) on roughly 7.95M shares traded, about 34% below average; the 50-day and 200-day moving averages are $2.25 and $2.56, respectively.
• Analysts have turned cautious—Morgan Stanley cut Wipro to an "underweight" and the consensus rating is "Reduce" (two Holds, one Sell).
• Wipro reported quarterly EPS of $0.04, meeting estimates; the stock has a market cap of $22.36B, a P/E of 15.25 (PEG 6.07), and analysts expect FY EPS of $0.14.

Wipro Limited (NYSE:WIT - Get Free Report)'s share price fell 4.6% on Thursday . The company traded as low as $2.15 and last traded at $2.1650. 7,948,775 shares were traded during trading, a decline of 34% from the average session volume of 11,954,255 shares. The stock had previously closed at $2.27.

Analysts Set New Price Targets

Separately, Morgan Stanley cut Wipro to an "underweight" rating in a research report on Monday, January 19th. Two analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Reduce".

Wipro Trading Down 5.9%

The firm has a market capitalization of $22.36 billion, a price-to-earnings ratio of 15.25, a PEG ratio of 6.07 and a beta of 1.06. The business has a 50-day moving average price of $2.25 and a two-hundred day moving average price of $2.56.

Wipro (NYSE:WIT - Get Free Report) last posted its earnings results on Thursday, April 16th. The information technology services provider reported $0.04 EPS for the quarter, meeting the consensus estimate of $0.04. Wipro had a return on equity of 15.35% and a net margin of 14.61%. On average, equities research analysts predict that Wipro Limited will post 0.14 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Wipro

A number of institutional investors and hedge funds have recently added to or reduced their stakes in WIT. Morgan Stanley boosted its stake in Wipro by 65.0% during the 4th quarter. Morgan Stanley now owns 48,531,368 shares of the information technology services provider's stock valued at $137,829,000 after purchasing an additional 19,114,904 shares in the last quarter. Defiance ETFs LLC bought a new position in Wipro during the 4th quarter valued at $39,525,000. UBS Group AG boosted its stake in Wipro by 165.0% during the 3rd quarter. UBS Group AG now owns 13,044,840 shares of the information technology services provider's stock valued at $34,308,000 after purchasing an additional 8,122,275 shares in the last quarter. Norges Bank bought a new position in Wipro during the 4th quarter valued at $22,036,000. Finally, Bank of America Corp DE boosted its stake in shares of Wipro by 298.9% during the 2nd quarter. Bank of America Corp DE now owns 7,690,677 shares of the information technology services provider's stock worth $23,226,000 after acquiring an additional 5,762,771 shares in the last quarter. 2.36% of the stock is owned by institutional investors.

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.

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