Wipro (NYSE:WIT) Shares Gap Up – Should You Buy?

Wipro Limited (NYSE:WIT)’s share price gapped up before the market opened on Thursday. The stock had previously closed at $1.65, but opened at $1.75. Wipro shares last traded at $1.7750, with a volume of 5,934,788 shares traded.

Wall Street Analysts Forecast Growth

A number of research analysts recently issued reports on WIT shares. JPMorgan Chase & Co. cut shares of Wipro from a “neutral” rating to an “underweight” rating and decreased their price objective for the company from $2.20 to $1.70 in a research note on Wednesday, June 24th. CLSA cut Wipro from a “hold” rating to an “underperform” rating in a research note on Wednesday, August 19th. Finally, Weiss Ratings upgraded Wipro from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Tuesday, July 28th. One investment analyst has rated the stock with a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Strong Sell” and an average price target of $1.70.

Wipro Stock Up 6.4%

The stock has a market cap of $17.36 billion, a P/E ratio of 13.42, a PEG ratio of 3.67 and a beta of 0.95. The business’s 50 day simple moving average is $1.83 and its two-hundred day simple moving average is $2.00.

Wipro (NYSE:WIT) last released its quarterly earnings data on Friday, July 17th. The information technology services provider reported $0.03 earnings per share for the quarter, meeting the consensus estimate of $0.03. The company had revenue of $2.58 billion for the quarter, compared to the consensus estimate of $2.60 billion. Wipro had a return on equity of 15.40% and a net margin of 13.93%. As a group, research analysts forecast that Wipro Limited will post 0.14 earnings per share for the current fiscal year.

Institutional Trading of Wipro

A number of hedge funds have recently made changes to their positions in the company. QRG Capital Management Inc. increased its stake in shares of Wipro by 47.3% in the second quarter. QRG Capital Management Inc. now owns 61,847 shares of the information technology services provider’s stock valued at $139,000 after buying an additional 19,868 shares during the period. Tidal Investments LLC boosted its position in Wipro by 427.2% during the 2nd quarter. Tidal Investments LLC now owns 271,584 shares of the information technology services provider’s stock worth $611,000 after buying an additional 220,065 shares during the period. Engineers Gate Manager LP grew its holdings in Wipro by 241.0% during the 2nd quarter. Engineers Gate Manager LP now owns 706,130 shares of the information technology services provider’s stock worth $1,589,000 after acquiring an additional 499,082 shares during the last quarter. Nykredit A S bought a new stake in Wipro during the 2nd quarter worth approximately $3,505,000. Finally, Corient Private Wealth LP increased its position in Wipro by 18.1% in the 2nd quarter. Corient Private Wealth LP now owns 762,207 shares of the information technology services provider’s stock valued at $1,715,000 after acquiring an additional 116,910 shares during the period. 2.36% of the stock is owned by institutional investors and hedge funds.

About Wipro

Wipro Limited (NYSE:WIT) is an India-based technology services and consulting company that helps businesses modernize operations, develop digital products and manage technology infrastructure. Its services include consulting, application development and management, cloud computing, cybersecurity, data and analytics, artificial intelligence, engineering, and business process services.

The company serves clients across industries including financial services, healthcare, consumer and retail, communications, energy, manufacturing, and technology.