Most of you may have found yourselves trapped in Wipro stock at higher levels, such as 700 or 650. If you are one of those unfortunate individuals, this blog will be of great importance to you. Here, I present a comprehensive analysis of Wipro stock and provide Wipro share price targets for the years 2024, 2025, 2026, 2027, and all the way up to 2050.
All you need to do is pay close attention while reading this article and refrain from skipping any section, as it will assist you in mastering the art of stock analysis for both trading and investment purposes.
The share price targets will be shared after delving into the company and its fundamentals, as they play a crucial role in determining the stock price forecast. Without further ado, let’s commence the analysis.
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About Wipro
Wipro, initially known as Western India Vegetable Products Limited, had its inception in 1945, thanks to the efforts of Mohamed Premji. Today, Wipro stands as an Indian multinational corporation specializing in information technology, consultancy, and business process services. It proudly holds a prominent position among the leading Big Tech companies and is often referred to as a tech giant.
In a notable move, Wipro secured a listing on the New York Stock Exchange. The year 2004 marked a significant milestone when Wipro became the second Indian IT company to achieve an annual revenue of US$1 billion. Fast forward to 2012, Wipro made a strategic decision to demerge its non-IT businesses, establishing a separate entity known as Wipro Enterprises.
Wipro Share Analysis
Data As of 31st October 2023
Current Market Price | Rs. 382 |
Market Cap | Rs. 2,09,838 Crore |
P/E Ratio | 17.9 |
EPS | 21.21 |
52 Week High | Rs. 444 |
52 Week Low | Rs. 352 |
Book Value | Rs. 126 |
Dividend Yield | 0.26% |
ROCE | 17.7% |
ROE | 15.9% |
Promoters Holding | 72.93% |
FIIs Holding | 6.47% |
DIIs Holding | 8.03% |
Public Holding | 12.43% |
Others Holding | 0.14% |
Everything was going smoothly for Wipro until the beginning of 2022. The stock reached its peak at around Rs. 720, but then concerns arose regarding the economic downturn in America and European countries. Additionally, the Russia-Ukraine conflict began, leading to a severe market crash.
Simultaneously, negative news began to circulate regarding Wipro. Many prominent figures resigned from the company, employee salaries were reduced, hiring was nearly halted, and various other challenges emerged. Consequently, Wipro’s stock had to confront these difficulties, resulting in a significant decline in its price.
Currently, the stock is trading within the range of Rs. 360 to 430, with a notable level of support observed at Rs. 350. Unfortunately, the stock has not shown significant performance over the past two years. Nevertheless, I hold a strong belief that it has the potential to make a comeback in 2024, possibly reaching levels between Rs. 500 and 600.
In terms of historical performance, Wipro has maintained an average sales and profit growth rate. Its compounded sales growth stands at 9% over a 10-year period, 11% over 5 years, 14% over 3 years, and 8% on a trailing twelve-month (TTM) basis. While this growth is not poor, it may not be considered exceptionally impressive.
The compounded profit growth rate reveals a similar pattern, with a 7% growth over 10 and 5 years, 5% over 3 years, and 3% on a TTM basis.
Wipro’s stock price has exhibited a responsive pattern to its sales and profit growth, delivering a Compound Annual Growth Rate (CAGR) of 8% over 10 years, 9% over 5 years, 4% over 3 years, and a decline of -1% over the past year.
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Wipro Share Price Target 2024 to 2050
Determining share price targets for a company like Wipro, spanning from 2024 to 2050, offers investors both advantages and challenges. On the positive side, it provides investors with a well-defined roadmap, enabling them to make informed financial decisions.
Nonetheless, it’s crucial to bear in mind that forecasting share prices for nearly three decades is a complex endeavor. Numerous variables can undergo significant changes, including market dynamics, the overall economy, and Wipro’s performance as a company.
While setting targets serves as excellent motivation, maintaining flexibility and adapting plans in response to shifts in the ever-evolving realm of investing is equally vital.
The Wipro share price targets mentioned below are grounded in fundamental analysis, taking into account historical patterns to estimate future growth. Furthermore, these target prices do not factor in potential adjustments to share prices, such as bonuses, stock splits, and the like. Let’s delve into the share price predictions for Wipro stock, spanning the years 2024 to 2050.
![Wipro share price target 2024 to 2050](https://sharekingz.com/wp-content/uploads/2023/10/wipro-share-price-target-1024x588.webp)
Year | Wipro Stock Price Target |
2024 | Rs. 516 |
2025 | Rs. 619 |
2026 | Rs. 743 |
2027 | Rs. 832 |
2028 | Rs. 1,023 |
2029 | Rs. 1,207 |
2030 | Rs. 1,328 |
2031 | Rs. 1,580 |
2032 | Rs. 1,817 |
2033 | Rs. 2,217 |
2034 | Rs. 2,727 |
2035 | Rs. 3,109 |
2036 | Rs. 3,357 |
2037 | Rs. 3,895 |
2038 | Rs. 4,245 |
2039 | Rs. 5,009 |
2040 | Rs. 5,610 |
2041 | Rs. 6,788 |
2042 | Rs. 8,282 |
2043 | Rs. 9,690 |
2044 | Rs. 10,756 |
2045 | Rs. 11,508 |
2046 | Rs. 13,120 |
2047 | Rs. 14,432 |
2048 | Rs. 15,730 |
2049 | Rs. 17,461 |
2050 | Rs. 19,382 |
Factors Affecting Wipro Stock Price in Future
The stock market is highly dynamic, with every share susceptible to various influencing factors, resulting in a perpetual state of uncertainty. Wipro’s stock, too, can be influenced by numerous factors, with some of the major ones outlined below:
Industry Trends and Competitive Landscape
Changes in the technology and IT services industry can significantly impact Wipro’s stock price. Factors such as shifts in customer preferences, emerging technologies, and competition from other tech companies can affect its financial performance and market sentiment.
Global Economic Conditions
Economic conditions in key markets, especially in the United States and Europe, where Wipro has a significant presence, can impact demand for IT services. A strong economy generally leads to increased IT spending, which can benefit Wipro, while economic downturns can reduce demand.
Company Performance
Wipro’s financial results, such as revenue growth, profitability, and earnings reports, will directly affect its stock price. Positive financial performance can boost investor confidence, while disappointing results can lead to stock price declines.
Dollar Price
Wipro operates globally and earns major chunk of revenue in US Dollar. Fluctuations in exchange rates can affect the company’s earnings, as a strong Indian Rupee can make its services more expensive for foreign clients.
Client Relationships
The loss of major clients or the ability to win significant new contracts can have a substantial impact on Wipro’s revenue and, consequently, its stock price.
Management and Leadership Changes
Changes in the company’s leadership, including the CEO and key executives, can influence investor sentiment and stock performance.
Technological Advancements
Wipro’s ability to adapt to and adopt emerging technologies can impact its competitiveness and ability to meet client demands. Staying at the forefront of technological innovation is essential in the IT services industry.
Market Sentiment and Investor Behavior
Psychological factors, investor sentiment, and market speculation can lead to short-term fluctuations in stock prices, even when there are no significant changes in the underlying fundamentals.
FAQs Related to Wipro Share Price Prediction
Investors have numerous questions regarding Wipro stock and its price forecast. Below, you’ll find answers to some of them. Check them out!
Is Wipro share good for long term?
Wipro stock is a fundamentally good stock. So, it can be considered for long term investing.
Why Wipro share is not increasing?
Wipro stock is currently in the consolidation phase. It is not increasing because of the recession in the IT sector. Once things are fine, it will start moving upside.
Does Wipro pay dividends?
Yes, Wipro pays dividend to its shareholders.
Conclusion
Wipro is currently encountering short-term challenges; however, it is anticipated to surmount these hurdles due to its substantial potential and the company’s efforts to establish a presence in emerging technologies like artificial intelligence.
It’s imperative to always prudently manage your risks when investing in any stock, including Wipro. Happy investing!
Disclaimer: The content provided on this website is for educational purposes only. We do not offer trading or investment advice.
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