Why Indian IT Major Wipro Shares Are Higher Today
Portfolio Pulse from Lekha Gupta
Wipro Ltd (NYSE:WIT) shares rose despite reporting a quarterly revenue decline of 1.4% Q/Q, missing consensus estimates. The company's EPS matched expectations, but IT Services revenue fell by 2.1% Q/Q. Operating margin slightly decreased, while net income increased by 1.8%. Wipro announced an interim dividend and provided a Q4 outlook with potential revenue decline or slight increase. The CEO emphasized investments in AI under the ai360 strategy. WIT shares surged by 17.04% to $6.28.
January 12, 2024 | 3:20 pm
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Wipro Ltd reported a revenue decline and a slight decrease in operating margin, but net income rose and an interim dividend was declared. The stock surged by 17.04% to $6.28.
Despite the revenue miss, Wipro's stock price increased significantly, likely due to the company's EPS meeting expectations, the announcement of an interim dividend, and positive sentiments from the CEO regarding AI investments. The Q4 outlook suggests caution, but the immediate market reaction was positive.
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