Wipro is one of the leading IT services and consulting companies in India with operations across the globe. As an investor, you may be interested in understanding Wipro’s growth prospects and estimated future share price targets.

This article provides a detailed analysis of Wipro’s financial performance, business outlook, and predicted share price targets from 2023 to 2050.

Wipro Company Overview

Category	Details
Company	Wipro Limited
Industry	Information Technology (IT), Consulting, and Business Process Services (BPS)
Website	https://www.wipro.com/
Headquarters	Bangalore, Karnataka, India
Market Capitalization	~$54.55 Billion (as of Dec 23, 2023)
Revenue (FY23 – Q3)	$11.3 Billion
CEO	Thierry Delaporte
Employees	Over 245,000
Customers	Over 1,400 active global clients
Geographical Presence	Operates in 65 countries
Service Offerings	IT consulting, custom application design, development, re-engineering, BPO services, cloud, mobility, analytics services, research and development, hardware and software design
Financial Highlights (FY23 – Q3)
* Revenue	$11.3 Billion
* Profit before Tax	$1.5 Billion
* Earnings per Share	$20.73
Key Ratios
* Debt-to-Equity Ratio	0.14
* Return on Equity (ROE)	19.4%
* Current Ratio	3.0
Stock Performance (2023 YTD)	Gain of 33.4%
Sustainability Initiatives	Focus on energy efficiency, waste management, and social responsibility
Awards and Recognition	Ranked among the top IT services companies globally, recognized for sustainability and corporate citizenship
Competition
* Major Competitors	TCS, Infosys, HCL Technologies, Accenture, IBM, Cognizant, Capgemini
* Key Competitive Factors	Pricing, service quality, innovation, domain expertise, talent pool
Competitor Growth
* TCS (FY23 – Q3)	Revenue growth of 14.5%, net profit growth of 7.4%
* Infosys (FY23 – Q3)	Revenue growth of 19.7%, net profit growth of 7.8%
* HCL Technologies (FY23 – Q3)	Revenue growth of 15.6%, net profit growth of 9.6%

Headquartered in Bengaluru, Wipro has emerged as one of the top IT services firms worldwide through its capabilities in digital transformation, cloud, infrastructure management, engineering R&D, cybersecurity and emerging technologies.

With over 220,000 employees serving clients across 6 continents, Wipro generated revenues of $11.2 billion in FY23. Its client-centricity, domain expertise and technology leadership make it a preferred transformation partner.

Key Milestones:

• Founded in 1945 as Western India Vegetable Products Limited
• Entered IT industry in 1980s by manufacturing indigenous computers
• Became a billion dollar company in 2004
• Expanded presence across Americas, Europe, Asia Pacific and Middle East
• Today among the top 4 Indian IT services players globally

Recent Developments:

• Acquired LeanSwift Solutions in 2022 to boost manufacturing tech capabilities
• Announced launch of 5G edge services solutions suite
• Aims to have 30% women in leadership roles by 2030

Wipro’s Business Segments

Wipro operates across two key business segments:

IT Services – Contributes 92% of revenues by providing consulting, application development, cloud migration, infrastructure management, testing services, business process outsourcing etc. Key growth areas include digital transformation, analytics, cybersecurity and engineering R&D.

IT Products – Brings 7-8% of Wipro’s topline and includes niche offerings in computing, storage, networking platforms along with audio-visual solutions.

Both segments leverage Wipro’s deep technology expertise, execution track record, large talent pool and global delivery model.

Factors Impacting Wipro’s Share Price

Wipro’s share price is influenced by several factors including:

• Quarterly financial performance and management commentary
• Guidance on revenue growth and profitability
• Large deal wins and order flows
• Macroeconomic trends and currency fluctuations
• Global IT spending patterns
• Acquisitions and strategic initiatives
• Competition from peers
• Attrition rates
• Regulatory changes

Wipro’s Competitive Positioning

Wipro competes with TCS, Infosys, HCL Tech and Cognizant in the global IT services space. It differentiates through deep domain and digital capabilities along with technology leadership.

Wipro has been recognized for its flexibility, customer orientation and innovative culture by leading industry analysts.

Wipro Share Price Trends

Wipro has been listed on Indian bourses since 1946. Over the past decade, Wipro’s share price has grown at an impressive CAGR of 10.2% significantly outperforming benchmark indices. However, the stock has relatively underperformed IT sector peers in recent years.

Key Drivers:

Wipro’s share price movement reflects its financial performance, growth guidance, macroeconomic trends, currency movements, new deals momentum and broader technology spends.

Wipro Share Price Chart (Last 10 Years)

Wipro Valuation Multiples

Wipro currently trades at a P/E ratio of around 18x which is at par with sector averages. However, its last 5 year average P/E has been higher at 20-22x.

Wipro’s current P/B ratio stands at 3.2x while EV/EBITDA ratio is around 12.5x. The healthy valuations reflect Wipro’s industry position, execution track record and future growth potential.

Wipro Shareholding Pattern

As of September 30, 2023, Wipro’s promoter & promoter group own 73.55% equity shares reflecting their majority controlling stake. Domestic and foreign institutional investors account for around 19.95% shareholding. Remaining 6% shares are owned by retail investors.

The high promoter holding lends stability while institutional shareholding brings depth and transparency.

Wipro Annual Financial Performance

Revenue – Wipro has delivered consistent YoY revenue growth over the past decade. For FY23 revenues stood at ₹90,031 crore, rising 7.7% YoY. The 5-year CAGR stands at 7.8%.

Net Profit – Net profit grew by 5.4% YoY in FY23 to ₹12,845 crore. Over 5 years, net profit has risen at 12% CAGR reflecting healthy margins.

EPS – Earnings per share has grown at 11% CAGR over 5 years and stood at ₹24.67 in FY23. The double-digit EPS growth highlights profitability.

Wipro Share Price Target 2023

For 2023, Wipro’s share price is expected to be in the range of ₹410 to ₹460 based on current business momentum and industry growth trends.

Key factors that can drive Wipro’s share price higher in 2023:

• Strong deal pipeline and order book – Wipro has a robust order book of over $10 billion. New deal wins in digital transformation, cloud services and engineering R&D will support growth.
• Margin expansion due to operating leverage and efficiency improvements. Operating margin expected to expand further from 17.7% in FY22.
• Acquisition of capabilities in cybersecurity, design thinking, cloud platform engineering etc. to boost growth.
• Growth in key markets like North America, Europe and Asia Pacific.

However, global macro-economic uncertainties and currency volatility remain key risks to watch out for.

Wipro Share Price Target 2024

In 2024, Wipro’s share price may trade in the ₹465 to ₹595 band, indicating an upside from current levels. Key growth drivers:

• Double-digit revenue growth expected in 2024, driven by strong demand for digital services.
• Margin improvement to around 18-19% through operational efficiencies and portfolio optimization.
• Higher cash generation to support investments and acquisitions. ROE to expand beyond 20%.
• Increased market share wins in strategic high-growth segments.
• Stable currency environment and recovery in global economy to aid growth.

Wipro Share Price Target 2025

Wipro’s share price is estimated to be within ₹550 to ₹650 in 2025 based on its strong capabilities and execution track record.

• Revenue growth expected to sustain above 10% through higher digital transformation spends by enterprises globally.
• Operating margin to hit 19-20% due to scale, automation and utilization gains.
• EPS likely to cross ₹30, reflecting stellar financial performance.
• Inorganic moves to augment capabilities in data analytics, IoT, cybersecurity etc.
• Improved global GDP outlook will generate further technology spends across industries.

Read now – jp power share price

Wipro Share Price Target 2026

In 2026, Wipro’s share price is projected to trade in the range of ₹580 to ₹680 based on its industry position and growth levers.

• Revenue growth to be driven by strong demand environment as enterprises ramp up digital investments.
• Margin expansion towards 20% milestone through portfolio optimization and operating leverage.
• EPS expected to sustain double-digit growth rates annually.
• Higher FCF generation will support dividends, buybacks and balance sheet strength.
• Continued investments in next-gen technologies like AI/ML, IoT, Web 3.0 etc.
• Expansion in Europe with strategic acquisitions. Market share gains in Asia Pacific.

Wipro Share Price Target 2027

Wipro’s share price in 2027 is estimated to be between ₹600 to ₹700, indicating substantial upside potential from current levels.

• Sustained double-digit revenue growth through larger client mining and new account additions.
• Best-in-class margins above 20% due to scale, automation and efficiency gains.
• Robust FCF generation enabling higher shareholder payouts through dividends and buybacks.
• Expansion in LATAM, Asia and Middle East markets providing diversification and growth opportunities.
• Investments in emerging tech like quantum computing, edge computing, blockchain etc. to boost innovation.
• EPS growth in high teens reflecting execution excellence and financial discipline.

Wipro Share Price Target 2030

By 2030, Wipro’s share price is likely to trade in the ₹950 to ₹1,100 range, representing significant upside potential.

• Revenue growth to be driven by leadership in digital transformation, cloud, engineering R&D and product engineering.
• Operating margins will sustain above 20% through scale, cross-skilling, utilization gains and portfolio optimization.
• Industry-leading return ratios and payouts reflecting robust cash generation capabilities.
• Inorganic expansion into new markets and capabilities through targeted acquisitions.
• Continued investments in futuristic technologies like quantum computing, 6G, ambient computing etc.
• EPS growth to accelerate driven by operating leverage and execution excellence.

Wipro Share Price Target 2040

By 2040, Wipro’s share price could potentially trade in the ₹2,800 to ₹3,200 range, representing immense upside over the long term.

• Revenue growth to be powered by leadership in AI, quantum computing, ambient experiences and sustainable technologies.
• Operating margins will sustain above 25% through scale, automation and portfolio optimization.
• Superior return ratios and cash generation to support high payouts to shareholders.
• Acquisitions and partnerships to augment capabilities in new futuristic areas.
• Significant investments planned in brain-computer interface, quantum networks, nanotech and biotech.
• EPS growth to accelerate driven by operating leverage and margins expansion.

Wipro Share Price Target 2050

Over the long term, Wipro’s share price is projected to trade between ₹3,500 to ₹4,000 by 2050 based on its market leadership and financial performance.

• Global IT spending will exceed $10 trillion by 2050, expanding Wipro’s addressable market significantly.
• Wipro is poised to emerge as one of the most valuable IT services brands worldwide.
• With 50%+ market share in futuristic tech domains, growth runway remains substantial.
• Best-in-class profitability, return ratios and capital allocation practices.
• EPS likely to top ₹200 by 2050 reflecting high profitability and efficiency.
• Strategic bets in Web 5.0, ambient computing, quantum networks, AIoT etc. will power growth in the long run.

In summary, Wipro is strategically positioned for long-term growth and value creation for investors. The estimated share price targets reflect Wipro’s credible growth roadmap and competitive strengths. However, stock markets are volatile and the actual share price may vary based on company’s performance and macro-economic factors. This analysis aims to provide a long-term perspective on Wipro’s potential. Investors should conduct their own due diligence.

Wipro Share Price Targets

Given Wipro’s established market position and growth outlook across key segments, its expected share price targets are:

Years	share price target
2024	₹465 to ₹595
2025	₹550 – ₹650
2026	₹580 to ₹680
2030	₹950 – ₹1100
2040	₹1800 – ₹2000
2050	₹3,500 to ₹4,000

The optimistic targets represent annualized return potential of 12-15% over next 5-10 years for investors.

Subsidiaries and Joint Ventures of Wipro

Overview of Key Subsidiaries and Joint Ventures

Key subsidiaries include Wipro Technologies SA, Wipro Gallagher Solutions & Wipro Infrastructure Engineering. Strategic JVs include Wipro GE Healthcare, Wipro Kawasaki Precision Machinery and Wipro Aerospace.

Influence on Overall Business Strategy

The subsidiaries and JVs augment Wipro’s capabilities in key domains, expand geographic footprint and enable access to new clients and market segments. They are aligned to the parent company’s vision and growth strategy.

Future Outlook for Wipro Share

Expert Opinions and Market Sentiments

According to analysts, Wipro is poised for robust growth based on strong capabilities and positioning. Market sentiment is positive driven by its growth prospects in digital services, bench strength and prudent capital allocation.

Potential Catalysts for Growth

Key growth catalysts for Wipro include rising IT spends in digital, engineering R&D, platforms and products. Acquisitions and partnerships will further boost growth along with expansion in Europe and Asia.

Growth Drivers

Key growth catalysts for Wipro going forward:

• Increasing IT spends by enterprises on digital, cloud, engineering R&D and cybersecurity
• Gaining market share across strategic high-growth segments like analytics, AI, IoT etc.
• Geographic expansion beyond core markets into Africa, Middle East and Latin America
• Selective acquisitions to boost capabilities including in startups ecosystem
• Leveraging partnerships with cloud majors like AWS, Azure, Google Cloud etc.
• Continuous focus on next-gen technologies like quantum computing, AR/VR, Web 3.0 etc.

Key Risk Factors

Wipro’s share price may be influenced by following downside risks:

• Intensifying competition from global technology services majors
• Demand fluctuations in major markets like North America, Europe
• Currency volatility risks across global operations
• Rising onsite employee costs affecting profitability
• Regulatory changes related to taxes, immigration impacting operations
• Failure to keep pace with rapid technology advancements
• Macroeconomic uncertainties and geo-political conflicts

However, its diversified revenue mix, healthy balance sheet and prudent risk management provide adequate margin of safety.

Final Takeaway

In summary, Wipro seems well positioned to deliver healthy growth and value creation driven by its competitive strengths, prudent capital allocation, operating leverage and investments in emerging technologies. Wipro’s share price targets provided earlier highlight its future growth potential. However, stock markets are volatile and investors should conduct their own due diligence.

This article is meant for educational purposes only and not to be construed as investment advice. Consult certified analysts before investing.

Sources:

Company Reports, BSE Filings, Investor Presentations, Analyst Reports

FAQs

What is Wipro’s current share price and market capitalization?

Wipro is currently trading around ₹400 per share with a market capitalization of over ₹2,18,000 crore.

What is Wipro’s 52 week high/low stock price?

In the past 52 weeks, Wipro share price has ranged from a high of ₹745 to a low of ₹397.

Which are Wipro’s major competitors in the IT services industry?

Key competitors for Wipro include TCS, Infosys, HCL Technologies, Cognizant and Accenture among Indian and global majors.

What is the dividend policy of Wipro?

Wipro has a dividend pay-out policy of up to 50% of consolidated net profits annually.

Disclaimer

The information provided on this website is for educational and informational purposes only. The content should not be considered as professional financial advice. We are not SEBI registered or authorized to provide stock recommendations.

The share price targets and predictions made on this website are analytical in nature and based on certain assumptions and publicly available data. There is no guarantee that the projected prices will be realized. Many unforeseen factors can alter stock price movements.

You must undertake your own research, analysis and judgement before acting on any information provided here. We are not responsible for any loss incurred due to reliance placed on the content. Our stock projections may differ from estimates by other analysts and market participants.

The website owners do not make any warranties about the completeness or accuracy of the share price targets. We do not guarantee returns on any investments made based on the price targets. Past performance does not guarantee future returns.

The share price targets are time sensitive and may change given market developments going forward. Our objective is to provide timely updates to help you make informed investment decisions. However, investing involves risks and you must exercise due diligence.

This website may contain links and references to third-party resources. We do not endorse or approve of any third-party content. The third-party content is provided solely for informational purposes and its accuracy is not guaranteed.

By using this website, you agree not to hold the website owners or authors liable for any trading decisions, damages or monetary loss. Please conduct your own due diligence before investing.