Why did Wipro share price crash by 10% today?

Synopsis: Wipro Ltd saw its shares fall by 10 % in the Day’s Trade following their Q3 results, in which their YoY revenue rose by 5.5% to ₹ 23,556 Crores, and their net profit in YoY declined by 6.5% to ₹ 3,145 Crores, with a weak Q4FY26 growth outlook.

The shares of the Large-Cap company specializing in Information Technology (IT) Services, Consulting, and Business Process Services, focusing on digital transformation, cloud, AI, cybersecurity, and data analytics, have declined by 10 percent following their Q3 results and weak Q4FY26 growth outlook.

With a market capitalization of Rs. 2,61,385.69 Crores on Monday, the shares of Wipro Ltd declined upto 9.54 percent, reaching a low of Rs. 241.75 compared to its previous close of Rs. 267.25.

What Happened

Wipro Ltd, engaged in Information Technology (IT) Services, Consulting, and Business Process Services, is in the spotlight today as they have announced their Q3 results as follows:

Its Revenue from operations rose by 5.5 percent YoY from Rs. 22,319 Crores in Q3FY25 to Rs. 23,556 Crores in Q3FY26, and it rose by 3.7 percent QoQ from Rs. 22,697 Crores in Q2FY26 to Rs. 23,556 Crores in Q3FY26.

Its Net Profit YoY declined by 6.5 percent from Rs. 3,367 Crores in Q3FY25 to Rs. 3,145 Crores in Q3FY26, and on a QoQ basis, it declined by 3.5 percent from Rs. 3,262 Crores in Q2FY26 to Rs. 3,145 Crores in Q3FY26. 

The earnings per share (EPS) for the quarterly period stood at Rs. 2.97, compared to Rs. 3.20 in the previous year’s quarter. Addtionally the company’s board also approved an interim dividend of Rs 6 per share, with January 27 fixed as the record date, and the dividend will be paid on or before February 14.

However, the core of investor concern appears to be Wipro’s March-quarter guidance, which fell below Street expectations despite the company reporting sequential revenue growth and maintaining margins. Wipro has guided IT services revenue in the range of $2.635 billion to $2.688 billion for the March quarter, implying sequential constant-currency growth of 0 percent to 2 percent.

Furthermore, it reported total deal bookings of $3.34 billion for the third quarter, its lowest in six quarters, versus $4.69 billion in the previous quarter and $3.5 billion in the same period a year earlier.

Brokerage Views on Result

Nomura on Wipro

Nomura reiterated its Buy rating on Wipro with a target price of Rs 290 per share, citing Q3 operational performance that exceeded expectations. While the brokerage flagged weaker-than-expected Q4 guidance, it highlighted that deal wins remained steady and margin discipline was maintained.

Nomura trimmed its FY27–FY28 EPS estimates to reflect the softer outlook, but believes the stock is well supported by attractive valuations and a healthy dividend yield, which should limit downside risk.

Jefferies on Wipro

Jefferies struck a more cautious stance, maintaining its Underperform rating on Wipro with a target price of Rs 220 per share. The brokerage noted that Q3 adjusted results were largely in line with expectations, but highlighted weak deal bookings and slower ramp-up of new contracts as key risks to meeting growth guidance.

Jefferies also warned that margins could face pressure due to contract ramp-ups and acquisitions. It added that low EPS CAGR and limited dividend appeal weaken the stock’s risk-reward profile, making it unattractive at current levels.

Company Overview & Others

Wipro Ltd. is a global Indian multinational technology company offering IT, consulting, and business process services, known for digital transformation, cloud, AI, and cybersecurity, evolving from its 1945 origins in consumer goods to a major tech player with numerous employees, focusing on innovation, sustainability, and AI-driven solutions.

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