Wipro Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Wipro Ltd trades at ₹184, in a downtrend and 25 weeks into that stage. That is −12.5% against its own 200-day average. It sits at 14% of a 52-week range of ₹170 to ₹269. On relative strength it is currently behind the NIFTY 500 on a trailing-13-week view (13 weeks and counting).

Today the stock is in a downtrend — week 25 of stage 4, confirmed. At ₹184 it trades −12.5% versus its 200-day average and sits at 14% of its 52-week range (₹170–₹269).

Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +82% while the NIFTY 500 moved +276% — behind the index over the full window. Recent form: on a trailing-13-week view the stock is currently behind (13 weeks and counting; last ahead the week of 2026-06-04) — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Wipro Ltd trades at 13.8× P/E, near the bottom of its own range — cheaper only 9% of the time. Its long-run median P/E is 18.8×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 13.8× is near the bottom of its own range — cheaper only 9% of the time, against a long-run median of 18.8× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +0.3% against a −24.3% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the −9.0%/yr price move, ~+4.1%/yr came from earnings growth and ~−13.1 pp from the multiple (compressing); over 10y, of the +6.0%/yr price move, ~+6.7%/yr came from earnings growth and ~−0.7 pp from the multiple (roughly flat). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: Topping out Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Wipro Ltd reads as topping out on its fundamental arc. Topping out — profit and EPS growth have decelerated hard (profit growth +19.0% at its peak → −1.7% latest) while ROCE still reads 20.2%. The read is built from 12 quarters across 4 curves, on full evidence.

Why it matters: decelerating from a peak is where good stories quietly end — the multiple usually notices late.

4-Factor Sector Score

50.3/100 — rank 31 of 63 in IT - Software · 94% evidence confidence

Wipro Ltd scores 50.3 out of 100 against the 63 companies it is compared with in IT - Software, ranking 31. Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.

The four contributions add to the total exactly: 13.8 + 14.9 + 13.2 + 8.4 = 50.3. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Wipro Ltd reported ₹24,479 Cr of revenue in the Jun 26 quarter, +10.6% year on year. That is the 7th straight quarter of year-on-year growth. Over 10 years it has compounded at 6.1% a year. The last full year, FY26, came in at ₹92,624 Cr. The last four reported quarters add to ₹94,968 Cr.

FY26 revenue came in at ₹92,624 Cr (+4.0% on the year), capping 10 years at 6.1% compound. The latest quarter (Jun 26) printed ₹24,479 Cr, +10.6% year on year — the 7th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +6.4% growth against the decade's 6.1% — the current year is running in line with its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +6.4% over the last 4 quarters against +3.4%/yr over the last 8 — stabilising; TTM profit −1.7% vs +8.6%/yr — rolling over.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Wipro Ltd's operating margin is 19.0% in the Jun 26 quarter, +0.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 19.0% to 24.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 19.0%, +0.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 19.0%–24.0%.

🚨 Why the margin moved: operating margin went −0.2 pp year on year while gross margin went −0.1 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Wipro Ltd earned ₹3,356 Cr of net profit in the Jun 26 quarter, +0.6% year on year. Full-year FY26 profit was ₹13,266 Cr. The 10-year compound rate is 4.0%. That is 13.7% of the quarter's revenue. The same quarter a year earlier earned ₹3,336 Cr.

Jun 26 profit was ₹3,356 Cr, +0.6% year on year. On the full year, FY26 printed ₹13,266 Cr (+0.4%), and the 10-year compound rate is 4.0%.

Why profit moved: revenue contributed +10.6% and the margin +0.0 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit −1.7% vs revenue +6.4%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 132% of Wipro Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹14,932 Cr of operating cash against ₹13,266 Cr of profit. After ₹9,630 Cr of capital spending, ₹5,302 Cr was left as free cash.

FY26: operating cash of ₹14,932 Cr against reported profit of ₹13,266 Cr, leaving free cash of ₹5,302 Cr after ₹9,630 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 132% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 132%: the cash cycle held roughly steady between FY21 and FY26 — so conversion tracks profitability rather than the cycle.

Router verdict: the bigger cash user is investment — capital spending ran 1.7× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Wipro Ltd's cash conversion cycle runs 54 days in FY26, down from 56 days in FY21. Capital spending ran ₹16,004 Cr over the last 3 years. At FY26 sales of ₹92,624 Cr each day of that cycle holds about ₹254 Cr, so roughly ₹13,703 Cr sits inside the business at any moment.

FY26: debtors at 54 days (an asset-light business — no inventory to speak of) — for a full cycle of 54 days, tighter than FY21's 56.

In money terms: at FY26 sales of ₹92,624 Cr, each day of the cycle holds about ₹254 Cr — so the 54-day loop keeps roughly ₹13,703 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹16,004 Cr over the last 3 fiscal years against ₹9,276 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹412 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Wipro Ltd earns a ROCE of 18% in FY26. That is up from a trough of 17% in FY18. Return on invested capital clears the cost of that capital by +8.4 percentage points, so growth here adds value rather than only size. The wiring behind it is 14.3% net margin on 0.66× asset turns.

FY26 ROCE is 18%, recovered from a FY18 trough of 17% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 14.3% net margin × 0.66× asset turns × 1.60× balance-sheet leverage ≈ 15.1% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 20.4% − 12.0% = a +8.4 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

Wipro Ltd carries total debt of ₹21,282 Cr against shareholder equity of ₹77,677 Cr as of Jun 26, a debt-to-equity of 0.27 — effectively unlevered. On the annual view that ratio went from 0.27 in FY22 to 0.23 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Jun 26: total debt of ₹21,282 Cr against shareholder equity of ₹77,677 Cr — a debt-to-equity of 0.27. On the annual view, debt-to-equity went from 0.27 (FY22) to 0.23 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Domestic institutions cut 3.0 points of Wipro Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 5.2% of the company. Foreign institutions moved +1.7 points over the same window, to 8.8%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Domestic institutions: −3.0 points over 8 quarters to 5.2%; Foreign institutions: +1.7 points over 8 quarters to 8.8%; Promoters: −0.2 points over 8 quarters to 72.6%.

Why the register moved: rotation — foreign institutions +1.7 points against domestic institutions −3.0 points over 8 quarters, with promoters holding steady — one class of institutions handing the register to the other, not a verdict change by the people closest to the numbers.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Wipro Ltd: the Z-score reads 4.73. A Z-score above roughly 3 reads as safe and below roughly 1.8 as the distress zone, so this sits well clear of distress. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure.

Why it matters: a Z-score of 4.73 sits well clear of the distress zone — the balance sheet is not the risk here.

The safety line in one sentence: the Z-score reads 4.73.

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