Loading...

You're on the old version of Simply Wall St. We will no longer be supporting this site, so we recommend you switch to our brand new platform.

Wipro

BSE:507685
Snowflake Description

Solid track record with excellent balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
507685
BSE
₹1,024B
Market Cap
  1. Home
  2. IN
  3. Software
Company description

Wipro Limited operates as an information technology (IT), consulting, and business process services (BPS) company worldwide. The last earnings update was 78 days ago. More info.


Add to Portfolio Compare Print
  • Wipro has significant price volatility in the past 3 months.
507685 Share Price and Events
7 Day Returns
-1.9%
BSE:507685
-8%
IN IT
-3.9%
IN Market
1 Year Returns
-31.3%
BSE:507685
-23.3%
IN IT
-32.2%
IN Market
507685 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Wipro (507685) -1.9% -21.6% -28.2% -31.3% -6.2% -22.3%
IN IT -8% -23.1% -25.7% -23.3% 19.3% 5.8%
IN Market -3.9% -26.8% -31.7% -32.2% -23.8% -14.9%
1 Year Return vs Industry and Market
  • 507685 underperformed the IT industry which returned -23.3% over the past year.
  • 507685 matched the India Market (-32.2%) over the past year.
Price Volatility
507685
Industry
5yr Volatility vs Market

Value

 Is Wipro undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Wipro to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Wipro.

BSE:507685 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 35 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.1%
Perpetual Growth Rate 10-Year IN Government Bond Rate 6.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BSE:507685
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 6.5%
Equity Risk Premium S&P Global 7.9%
IT Unlevered Beta Simply Wall St/ S&P Global 0.89
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.891 (1 + (1- 35%) (10.91%))
0.969
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.97
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 6.48% + (0.969 * 7.85%)
14.09%

Discounted Cash Flow Calculation for BSE:507685 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Wipro is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

BSE:507685 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 14.09%)
2020 84,957.90 Analyst x20 74,466.35
2021 84,317.19 Analyst x25 64,778.17
2022 91,134.96 Analyst x23 61,369.67
2023 90,974.95 Est @ -0.18% 53,696.61
2024 92,631.68 Est @ 1.82% 47,922.65
2025 95,613.28 Est @ 3.22% 43,356.66
2026 99,626.30 Est @ 4.2% 39,597.50
2027 104,490.05 Est @ 4.88% 36,401.98
2028 110,092.17 Est @ 5.36% 33,617.30
2029 116,364.10 Est @ 5.7% 31,144.52
Present value of next 10 years cash flows ₹486,351.00
BSE:507685 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ₹116,364.10 × (1 + 6.48%) ÷ (14.09% – 6.48%)
₹1,628,395.81
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹1,628,395.81 ÷ (1 + 14.09%)10
₹435,835.48
BSE:507685 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹486,351.00 + ₹435,835.48
₹922,186.48
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹922,186.48 / 5,689.00
₹162.1
BSE:507685 Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹162.10
Current discount Discount to share price of ₹180.00
= -1 x (₹180.00 - ₹162.10) / ₹162.10
-11%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Wipro is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Wipro's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Wipro's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:507685 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in INR ₹16.71
BSE:507685 Share Price ** BSE (2020-04-03) in INR ₹180
India IT Industry PE Ratio Median Figure of 72 Publicly-Listed IT Companies 7.33x
India Market PE Ratio Median Figure of 2,614 Publicly-Listed Companies 9.41x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Wipro.

BSE:507685 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:507685 Share Price ÷ EPS (both in INR)

= 180 ÷ 16.71

10.77x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Wipro is overvalued based on earnings compared to the IN IT industry average.
  • Wipro is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Wipro's expected growth come at a high price?
Raw Data
BSE:507685 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.77x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 35 Analysts
3.3%per year
India IT Industry PEG Ratio Median Figure of 17 Publicly-Listed IT Companies 0.93x
India Market PEG Ratio Median Figure of 400 Publicly-Listed Companies 0.8x

*Line of best fit is calculated by linear regression .

BSE:507685 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 10.77x ÷ 3.3%

3.26x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Wipro is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Wipro's assets?
Raw Data
BSE:507685 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in INR ₹94.86
BSE:507685 Share Price * BSE (2020-04-03) in INR ₹180
India IT Industry PB Ratio Median Figure of 105 Publicly-Listed IT Companies 0.63x
India Market PB Ratio Median Figure of 3,613 Publicly-Listed Companies 0.63x
BSE:507685 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:507685 Share Price ÷ Book Value per Share (both in INR)

= 180 ÷ 94.86

1.9x

* Primary Listing of Wipro.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Wipro is overvalued based on assets compared to the IN IT industry average.
X
Value checks
We assess Wipro's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. Wipro has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Wipro expected to perform in the next 1 to 3 years based on estimates from 35 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
3.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Wipro expected to grow at an attractive rate?
  • Wipro's earnings growth is positive but not above the low risk savings rate of 6.5%.
Growth vs Market Checks
  • Wipro's earnings growth is positive but not above the India market average.
  • Wipro's revenue growth is positive but not above the India market average.
Annual Growth Rates Comparison
Raw Data
BSE:507685 Future Growth Rates Data Sources
Data Point Source Value (per year)
BSE:507685 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 35 Analysts 3.3%
BSE:507685 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 35 Analysts 4.4%
India IT Industry Earnings Growth Rate Market Cap Weighted Average 8.1%
India IT Industry Revenue Growth Rate Market Cap Weighted Average 7.9%
India Market Earnings Growth Rate Market Cap Weighted Average 19.2%
India Market Revenue Growth Rate Market Cap Weighted Average 8.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BSE:507685 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 35 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:507685 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31 665,142 114,413 105,103 29
2021-03-31 634,084 109,187 98,947 34
2020-04-04
2020-03-31 609,885 110,291 98,204 32
BSE:507685 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2019-12-31 603,185 119,837 98,791
2019-09-30 599,075 124,928 99,336
2019-06-30 593,229 116,259 92,699
2019-03-31 585,845 116,316 90,031
2018-12-31 573,468 90,559 83,226
2018-09-30 559,563 84,730 77,494
2018-06-30 548,387 83,486 80,522
2018-03-31 544,871 84,233 80,081
2017-12-31 547,060 102,311 84,664
2017-09-30 547,248 98,869 86,387
2017-06-30 550,671 107,894 85,142
2017-03-31 550,402 92,773 84,895

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Wipro's earnings are expected to grow by 3.3% yearly, however this is not considered high growth (20% yearly).
  • Wipro's revenue is expected to grow by 4.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BSE:507685 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 35 Analyst Estimates (S&P Global) See Below

All data from Wipro Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:507685 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31 18.28 20.90 15.60 31.00
2021-03-31 17.26 20.50 14.80 36.00
2020-04-04
2020-03-31 16.89 17.60 15.80 33.00
BSE:507685 Past Financials Data
Date (Data in INR Millions) EPS *
2019-12-31 16.71
2019-09-30 16.58
2019-06-30 15.43
2019-03-31 14.99
2018-12-31 13.85
2018-09-30 12.69
2018-06-30 12.95
2018-03-31 12.64
2017-12-31 13.14
2017-09-30 13.39
2017-06-30 13.19
2017-03-31 13.11

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Wipro is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Wipro's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Wipro has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Wipro performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Wipro's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Wipro's year on year earnings growth rate has been positive over the past 5 years.
  • Wipro's 1-year earnings growth exceeds its 5-year average (18.7% vs 0.9%)
  • Wipro's earnings growth has exceeded the IN IT industry average in the past year (18.7% vs 7.2%).
Earnings and Revenue History
Wipro's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Wipro Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:507685 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 603,185.00 98,791.00 67,276.00
2019-09-30 599,075.00 99,336.00 66,779.00
2019-06-30 593,229.00 92,699.00 74,133.00
2019-03-31 585,845.00 90,031.00 74,482.00
2018-12-31 573,468.00 83,226.00 82,381.00
2018-09-30 559,563.00 77,494.00 85,416.00
2018-06-30 548,387.00 80,522.00 77,858.00
2018-03-31 544,871.00 80,081.00 75,847.00
2017-12-31 547,060.00 84,664.00 71,473.00
2017-09-30 547,248.00 86,387.00 68,245.00
2017-06-30 550,671.00 85,142.00 69,452.00
2017-03-31 550,402.00 84,895.00 69,782.00
2016-12-31 546,851.00 84,664.00 70,514.00
2016-09-30 538,578.00 85,939.00 68,090.00
2016-06-30 526,056.00 87,676.00 65,526.00
2016-03-31 512,440.00 89,075.00 62,723.00
2015-12-31 497,534.00 89,415.00 60,493.00
2015-09-30 488,858.00 88,974.00 59,030.00
2015-06-30 480,561.00 87,413.00 57,668.00
2015-03-31 469,543.00 86,528.00 56,341.00
2014-12-31 464,581.00 86,072.00 55,460.00
2014-09-30 457,365.00 84,291.00 55,045.00
2014-06-30 448,281.00 82,765.00 52,669.00
2014-03-31 434,190.00 77,967.00 52,786.00
2013-12-31 412,467.00 71,467.00 50,375.00
2013-09-30 394,889.00 67,211.00 48,696.00
2013-06-30 379,326.00 62,930.00 46,465.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Wipro has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Wipro used its assets more efficiently than the IN IT industry average last year based on Return on Assets.
  • Wipro has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Wipro's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Wipro has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Wipro's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Wipro's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Wipro is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Wipro's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Wipro's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 5.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Wipro Company Filings, last reported 3 months ago.

BSE:507685 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 541,234.00 94,679.00 352,327.00
2019-09-30 516,307.00 94,278.00 328,842.00
2019-06-30 595,675.00 103,977.00 425,800.00
2019-03-31 570,753.00 97,465.00 388,165.00
2018-12-31 549,679.00 101,480.00 356,259.00
2018-09-30 523,314.00 115,055.00 330,819.00
2018-06-30 501,825.00 117,728.00 324,069.00
2018-03-31 485,346.00 134,286.00 296,692.00
2017-12-31 472,845.00 131,930.00 289,231.00
2017-09-30 564,895.00 145,362.00 384,347.00
2017-06-30 543,155.00 146,199.00 371,916.00
2017-03-31 522,695.00 134,132.00 349,492.00
2016-12-31 508,324.00 156,328.00 331,553.00
2016-09-30 485,690.00 124,604.00 313,155.00
2016-06-30 491,626.00 128,666.00 319,595.00
2016-03-31 467,384.00 116,258.00 302,884.00
2015-12-31 458,602.00 97,928.00 306,535.00
2015-09-30 435,152.00 99,311.00 283,953.00
2015-06-30 431,235.00 81,784.00 277,395.00
2015-03-31 409,628.00 74,035.00 251,048.00
2014-12-31 400,049.00 69,606.00 232,366.00
2014-09-30 375,316.00 57,196.00 200,817.00
2014-06-30 366,867.00 47,201.00 204,972.00
2014-03-31 344,886.00 48,592.00 188,014.00
2013-12-31 330,853.00 47,516.00 172,827.00
2013-09-30 307,760.00 56,414.00 164,196.00
2013-06-30 301,796.00 53,666.00 164,070.00
  • Wipro's level of debt (17.5%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (16.3% vs 17.5% today).
  • Debt is well covered by operating cash flow (126.6%, greater than 20% of total debt).
  • Wipro earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Wipro's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Wipro has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Wipro's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.56%
Current annual income from Wipro dividends. Estimated to be 3.62% next year.
If you bought ₹2,000 of Wipro shares you are expected to receive ₹11 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Wipro's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.96%).
  • Wipro's dividend is below the markets top 25% of dividend payers in India (4.06%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BSE:507685 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 35 Analyst Estimates (S&P Global) See Below
India IT Industry Average Dividend Yield Market Cap Weighted Average of 40 Stocks 2.1%
India Market Average Dividend Yield Market Cap Weighted Average of 1419 Stocks 2%
India Minimum Threshold Dividend Yield 10th Percentile 0.4%
India Bottom 25% Dividend Yield 25th Percentile 1%
India Top 25% Dividend Yield 75th Percentile 4.1%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BSE:507685 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2022-03-31 6.92 30.00
2021-03-31 6.13 32.00
2020-04-04
2020-03-31 3.13 32.00
BSE:507685 Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2020-01-17 1.000 0.459
2020-01-14 1.000 0.397
2019-10-17 1.000 0.402
2019-10-15 1.000 0.405
2019-06-11 0.750 0.289
2019-04-22 0.750 0.259
2019-01-18 0.750 0.277
2018-06-22 0.750 0.326
2018-04-30 0.750 0.376
2018-01-19 0.750 0.343
2017-06-02 0.750 0.347
2017-04-25 0.750 0.389
2016-06-03 2.250 1.217
2016-01-18 4.500 2.195
2015-04-21 5.250 2.492
2015-01-16 3.750 1.589
2014-04-17 3.000 1.457
2014-01-17 3.000 1.414
2013-04-22 2.625 1.643
2013-01-18 2.250 1.442
2012-05-16 4.500 3.199
2012-01-19 2.250 1.413
2011-04-27 2.250 1.552
2011-01-21 1.500 0.896
2011-01-20 1.500 0.857
2010-04-23 1.350 0.850
2009-04-22 0.900 0.752

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Wipro's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (16.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess Wipro's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.4%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Wipro afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Wipro has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Wipro's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Abid Neemuchwala
COMPENSATION ₹3,950,532
AGE 52
TENURE AS CEO 4.2 years
CEO Bio

Mr. Abidali Z. Neemuchwala, also known as Abid, M.Tech has been Chief Executive Officer and Executive Director of Wipro Ltd. since February 1, 2016 and serves as its Managing Director since July 31, 2019. Mr. Neemuchwala served as Chief Operating Officer and President of Wipro Ltd. since April 1, 2015 until February 1, 2016. Mr. Neemuchwala served as Global Head of Business Processing Services and Process Excellence of Tata Consultancy Services Limited. He served as an Executive officer of Global Delivery at Tata Consultancy Services Limited. Mr. Neemuchwala served as Vice President of Global Delivery and Services for North America of Tata Consultancy Services Limited. He served as General Manager for India West at Tata Consultancy Services Limited and headed and expanded its operations in Mumbai, Pune and Gujarat from 2004 to 2007 and was responsible for delivering services from western India to 200 plus Indian and global customers with over 17000 people organization. He served as Regional Manager for the Midwest US and in Japan of Tata Consultancy Services Limited. Mr. Neemuchwala served as a Non-Executive Director of TCS e-Serve Limited (formerly known as Citigroup Global Services Limited) since December 2009. He serves as Director at TCS e-Serve International Limited. Mr. Neemuchwala holds Bachelor of Engg. Electronics and Communication and Master's Degree in Industrial Management from IIT, Mumbai and Bachelor of Engineering in Electronics and Communication from National Institute of Technology, Raipur, India.

CEO Compensation
  • Abid's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Abid's remuneration is higher than average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Wipro management team in years:

4.2
Average Tenure
51
Average Age
  • The tenure for the Wipro management team is about average.
Management Team

Abid Neemuchwala

TITLE
CEO, MD & Executive Director
COMPENSATION
₹4M
AGE
52
TENURE
4.2 yrs

Bhanu Bhanumurthy

TITLE
President & COO
AGE
55
TENURE
4.2 yrs

Saurabh Govil

TITLE
President & Chief Human Resources Officer
AGE
51
TENURE
4 yrs

Jatin Dalal

TITLE
Chief Financial Officer
COMPENSATION
₹881K
AGE
44
TENURE
5 yrs

K. Sanjiv

TITLE
Chief Technology Officer
AGE
55

Milan Rao

TITLE
President of Mkt
AGE
48
TENURE
2.5 yrs

Anand Padmanabhan

TITLE
President of Strategic Sales & Geographies
AGE
56

L. Subramanian

TITLE
Senior Vice President
AGE
51

Anil Raibagi

TITLE
Head of M & A and Senior VP
AGE
49

Raja Ukil

TITLE
Senior VP & Chief Information Officer
AGE
50
Board of Directors Tenure

Average tenure and age of the Wipro board of directors in years:

4
Average Tenure
56
Average Age
  • The tenure for the Wipro board of directors is about average.
Board of Directors

Rishad Azim Premji

TITLE
Chairman
COMPENSATION
₹988K
AGE
42
TENURE
0.8 yrs

Abid Neemuchwala

TITLE
CEO, MD & Executive Director
COMPENSATION
₹4M
AGE
52
TENURE
4.2 yrs

Azim Premji

TITLE
Founder Chairman
COMPENSATION
₹262K
AGE
74
TENURE
0.8 yrs

Bill Owens

TITLE
Independent Director
COMPENSATION
₹23M
AGE
79
TENURE
13.8 yrs

Mahendra Sharma

TITLE
Lead Independent Director
COMPENSATION
₹7M
AGE
72
TENURE
0.7 yrs

Ireena Vittal

TITLE
Independent Director
COMPENSATION
₹7M
AGE
51
TENURE
6.5 yrs

Patrick Ennis

TITLE
Independent Director
COMPENSATION
₹18M
AGE
55
TENURE
4 yrs

Patrick Lucien Dupuis

TITLE
Independent Director
COMPENSATION
₹18M
AGE
56
TENURE
4 yrs

Arundhati Bhattacharya

TITLE
Independent Director
COMPENSATION
₹2M
AGE
63
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • Wipro individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
11. Mar 20 Sell Prasad Gantasai Individual 03. Mar 20 03. Mar 20 -21,850 ₹222.66 ₹-4,865,120
03. Mar 20 Sell Samir Gadgil Individual 03. Mar 20 03. Mar 20 -7,200 ₹223.00 ₹-1,605,600
12. Mar 20 Sell B Sahadev Individual 09. Mar 20 09. Mar 20 -20,800 ₹240.35 ₹-4,999,276
13. Mar 20 Sell Dipak Bohra Individual 13. Mar 20 13. Mar 20 -21,000 ₹199.86 ₹-4,197,059
03. Mar 20 Sell Samir Gadgil Individual 02. Mar 20 02. Mar 20 -10,000 ₹225.80 ₹-2,257,999
03. Mar 20 Sell Samir Gadgil Individual 28. Feb 20 28. Feb 20 -10,000 ₹225.05 ₹-2,250,499
25. Feb 20 Sell Viswanathan Ramaswamy Individual 24. Feb 20 24. Feb 20 -6,100 ₹245.86 ₹-1,499,746
24. Jan 20 Sell Srinivas Pallia Individual 23. Jan 20 23. Jan 20 -41,000 ₹246.48 ₹-10,105,558
31. Jan 20 Sell Prasad Gantasai Individual 29. Jan 20 29. Jan 20 -13,650 ₹246.33 ₹-3,362,435
04. Dec 19 Sell Sridhar Govardhan Individual 04. Dec 19 04. Dec 19 -12,000 ₹240.00 ₹-2,879,999
28. Nov 19 Sell Hiral Chandrana Individual 26. Nov 19 26. Nov 19 -15,000 ₹255.09 ₹-3,826,334
14. Nov 19 Sell Ayaskant Sarangi Individual 14. Nov 19 14. Nov 19 -6,000 ₹252.75 ₹-1,516,500
13. Nov 19 Sell Viswanathan Ramaswamy Individual 08. Nov 19 11. Nov 19 -12,000 ₹257.18 ₹-3,086,117
04. Nov 19 Sell Jayanta Dey Individual 01. Nov 19 01. Nov 19 -20,000 ₹258.05 ₹-5,161,002
05. Sep 19 Buy David D'Lima Individual 03. Sep 19 03. Sep 19 16,000 ₹250.00 ₹4,000,000
03. Sep 19 Sell Hiral Chandrana Individual 27. Aug 19 27. Aug 19 -10,000 ₹263.47 ₹-2,634,666
22. Aug 19 Sell Raja Ukil Individual 20. Aug 19 20. Aug 19 -9,350 ₹250.00 ₹-2,337,500
21. Aug 19 Sell Prasad Gantasai Individual 14. Jun 19 13. Aug 19 -25,900 ₹305.75 ₹-7,887,356
21. Aug 19 Buy Prasad Gantasai Individual 18. Jul 19 18. Jul 19 27,200 ₹267.12 ₹7,265,629
05. Aug 19 Sell Aparna Iyer Individual 02. Aug 19 02. Aug 19 -7,500 ₹269.81 ₹-2,023,575
30. Jul 19 Sell Gaurav Kedia Individual 05. Dec 18 16. May 19 -11,922 ₹289.40 ₹-3,102,255
23. Jul 19 Sell Jatin Dalal Individual 22. Jul 19 22. Jul 19 -50,000 ₹264.59 ₹-13,229,720
23. Jul 19 Sell Saurabh Govil Individual 22. Jul 19 22. Jul 19 -75,000 ₹263.47 ₹-19,760,075
09. Jul 19 Sell Nandini Matiyani Individual 04. Jul 19 04. Jul 19 -4,700 ₹284.00 ₹-1,334,800
14. Jun 19 Sell Amit Bajoria Individual 13. Jun 19 13. Jun 19 -24,600 ₹298.25 ₹-7,336,950
14. Jun 19 Sell N Balasubramanian Individual 13. Jun 19 13. Jun 19 -27,538 ₹298.02 ₹-8,206,875
13. Jun 19 Buy K. Sanjiv Individual 11. Jun 19 11. Jun 19 25,000 ₹297.70 ₹7,442,500
13. Jun 19 Buy Surajit Roy Individual 11. Jun 19 11. Jun 19 6,667 ₹297.70 ₹1,984,765
13. Jun 19 Buy Ashok Philipose Individual 11. Jun 19 11. Jun 19 12,933 ₹297.70 ₹3,850,154
13. Jun 19 Buy Sharmila Paranjpe Individual 11. Jun 19 11. Jun 19 6,400 ₹297.70 ₹1,905,280
13. Jun 19 Buy Vellore Nithin Individual 11. Jun 19 11. Jun 19 8,133 ₹297.70 ₹2,421,194
13. Jun 19 Buy Prasad Gantasai Individual 11. Jun 19 11. Jun 19 27,000 ₹297.70 ₹8,037,900
13. Jun 19 Buy Anil Raibagi Individual 11. Jun 19 11. Jun 19 24,000 ₹297.70 ₹7,144,800
13. Jun 19 Sell Dipak Bohra Individual 12. Jun 19 12. Jun 19 -49,066 ₹297.78 ₹-14,610,659
13. Jun 19 Buy Ayaskant Sarangi Individual 11. Jun 19 11. Jun 19 19,200 ₹297.70 ₹5,715,840
30. May 19 Sell Vijayasimha Alilughatta Individual 29. May 19 29. May 19 -20,000 ₹287.90 ₹-5,757,999
30. May 19 Sell Santhosh Nair Individual 30. May 19 30. May 19 -49,644 ₹288.07 ₹-14,301,090
06. Jun 19 Sell Santhosh Nair Individual 03. Jun 19 03. Jun 19 -25,000 ₹292.00 ₹-7,300,000
03. Jun 19 Sell Ayaskant Sarangi Individual 30. May 19 30. May 19 -7,015 ₹286.08 ₹-2,006,863
03. Jun 19 Sell Viswanathan Ramaswamy Individual 31. May 19 03. Jun 19 -12,000 ₹288.02 ₹-3,435,603
20. May 19 Sell Santhosh Nair Individual 17. May 19 17. May 19 -25,000 ₹288.50 ₹-7,212,499
13. May 19 Sell Mohammed Khan Individual 10. May 19 10. May 19 -15,400 ₹290.80 ₹-4,478,319
08. May 19 Sell Mohd Haque Individual 02. May 19 03. May 19 -16,777 ₹313.38 ₹-5,121,606
29. Apr 19 Sell Saurabh Govil Individual 26. Apr 19 26. Apr 19 -15,000 ₹294.81 ₹-4,422,107
25. Apr 19 Sell Dipak Bohra Individual 24. Apr 19 24. Apr 19 -25,000 ₹295.25 ₹-7,381,250
25. Apr 19 Sell Keyur Maniar Individual 24. Apr 19 24. Apr 19 -4,750 ₹293.12 ₹-1,392,300
25. Apr 19 Sell Saurabh Govil Individual 24. Apr 19 24. Apr 19 -15,000 ₹291.10 ₹-4,366,458
25. Apr 19 Sell Vinay Firake Individual 22. Apr 19 22. Apr 19 -5,000 ₹300.43 ₹-1,502,154
25. Apr 19 Sell Keyur Maniar Individual 23. Apr 19 23. Apr 19 -3,910 ₹290.07 ₹-1,134,179
23. Apr 19 Sell Keyur Maniar Individual 22. Apr 19 22. Apr 19 -2,740 ₹288.07 ₹-789,312
23. Apr 19 Sell Amit Bajoria Individual 22. Apr 19 22. Apr 19 -4,666 ₹288.40 ₹-1,345,674
X
Management checks
We assess Wipro's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Wipro has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Wipro Limited operates as an information technology (IT), consulting, and business process services (BPS) company worldwide. It operates in three segments: IT Services, IT Products, and India State Run Enterprise (ISRE). The company’s IT services segment offers IT and IT-enabled services, including digital strategy advisory, customer-centric design, technology consulting, IT consulting, custom application design, development, re-engineering and maintenance, systems integration, package implementation, infrastructure, analytics, business process, research and development, and hardware and software design services to enterprises. It serves customers in various industry verticals, such as banking, financial services, and insurance; health business; consumer business; energy, natural resources, and utilities; manufacturing; technology; and communications. The company’s IT Products segment provides a range of third-party IT products comprising enterprise platforms, networking solutions, software and data storage products, contact center infrastructure, enterprise security, IT optimization technologies, video solutions, and end-user computing solutions. It serves enterprises in various industries primarily in the India market, which comprise the government, defense, IT and IT-enabled services, telecommunications, manufacturing, utilities, education, and financial services sectors. Its ISRE segment offers IT services to entities and/or departments owned or controlled by the Government of India and/or various Indian State Governments. The company has a research collaboration agreement with Tel Aviv University for core and applied research in image and text analytics; a collaboration with Indian Institute of Science to develop solutions for autonomous systems, robotics, and 5G; a strategic partnership with Google for cloud adoption and digital transformation; and a strategic alliance with Smart Energy Water. Wipro Limited was founded in 1945 and is based in Bengaluru, India.

Details
Name: Wipro Limited
507685
Exchange: BSE
Founded: 1945
₹1,024,019,699,400
5,688,998,330
Website: http://www.wipro.com
Address: Wipro Limited
Doddakannelli,
Sarjapur Road,
Bengaluru,
Karnataka, 560035,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 507685 Equity Shares Mumbai Stock Exchange IN INR 25. Jan 1991
NSEI WIPRO Equity Shares National Stock Exchange of India IN INR 25. Jan 1991
NYSE WIT SPON ADR EACH REP 1 ORD SHS INR2 New York Stock Exchange US USD 19. Oct 2000
DB WIOA SPON ADR EACH REP 1 ORD SHS INR2 Deutsche Boerse AG DE EUR 19. Oct 2000
WBAG WIOA SPON ADR EACH REP 1 ORD SHS INR2 Wiener Boerse AG AT EUR 19. Oct 2000
BMV WIT N SPON ADR EACH REP 1 ORD SHS INR2 Bolsa Mexicana de Valores MX MXN 19. Oct 2000
Number of employees
Current staff
Staff numbers
187,318
Wipro employees.
Industry
IT Consulting and Other Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/04 14:55
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2020/04/03
Last earnings filing: 2020/01/17
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.