Wipro tanks 7% on muted revenue guidance

Market-cap dips Rs 7,932 cr due to selling pressure

Shares of today slumped more than 7%, wiping out Rs 7,932 crore from its market value, following a muted for the first quarter of 2012-13.

After plummeting by over 8% during the day, its shares finally ended at Rs 410.15 on the Bombay Stock Exchange (BSE), down 7.29%. On the National Stock Exchange, it closed down by 6.99% at Rs 411.10.

The scrip was the worst performer among the blue-chips on both and NSE. On volume front, 1.019 million shares of the company changed hands on the BSE, while more than 6 million shares were traded on the NSE.

"Wipro shares saw selling pressure on muted guidance for Q1 FY13. The company said its IT services revenues would be around $1.52-1.55 billion for April-June quarter, which is just 0.6% higher than Q4 FY12," Sharmila Joshi Head Equity Fairwealth Securities said.

Ashika Stock Brokers Research Head Paras Bothra said: "The numbers were not too great and on top of it the company forecast muted revenue growth was below street expectations and this led to heavy selling in the stock."

Wipro reported 7.7% increase in consolidated net profit at Rs 1,480.9 crore for the fourth quarter, 2011-12.

The company had posted a net profit of Rs 1,375.4 crore during the January-March quarter in 2010-11.

It said during the ongoing quarter (Q1, 2012-13), it expects revenues from IT services business to be in the range of $1,520 million to $1,550 million, assuming that exchange rates of the dollar will be at Rs 50.07.

Other frontline IT stocks such as TCS, Tech Mahindra, HCL Tech fell in the range of 0.5-1.9%.

In the broader market, the BSE benchmark Sensex ended at 17,151.29, down 56 points.

image
Business Standard
177 22
Business Standard

Wipro tanks 7% on muted revenue guidance

Market-cap dips Rs 7,932 cr due to selling pressure

Press Trust of India  |  Mumbai 



Shares of today slumped more than 7%, wiping out Rs 7,932 crore from its market value, following a muted for the first quarter of 2012-13.

After plummeting by over 8% during the day, its shares finally ended at Rs 410.15 on the Bombay Stock Exchange (BSE), down 7.29%. On the National Stock Exchange, it closed down by 6.99% at Rs 411.10.

The scrip was the worst performer among the blue-chips on both and NSE. On volume front, 1.019 million shares of the company changed hands on the BSE, while more than 6 million shares were traded on the NSE.

"Wipro shares saw selling pressure on muted guidance for Q1 FY13. The company said its IT services revenues would be around $1.52-1.55 billion for April-June quarter, which is just 0.6% higher than Q4 FY12," Sharmila Joshi Head Equity Fairwealth Securities said.

Ashika Stock Brokers Research Head Paras Bothra said: "The numbers were not too great and on top of it the company forecast muted revenue growth was below street expectations and this led to heavy selling in the stock."

Wipro reported 7.7% increase in consolidated net profit at Rs 1,480.9 crore for the fourth quarter, 2011-12.

The company had posted a net profit of Rs 1,375.4 crore during the January-March quarter in 2010-11.

It said during the ongoing quarter (Q1, 2012-13), it expects revenues from IT services business to be in the range of $1,520 million to $1,550 million, assuming that exchange rates of the dollar will be at Rs 50.07.

Other frontline IT stocks such as TCS, Tech Mahindra, HCL Tech fell in the range of 0.5-1.9%.

In the broader market, the BSE benchmark Sensex ended at 17,151.29, down 56 points.

RECOMMENDED FOR YOU

Wipro tanks 7% on muted revenue guidance

Market-cap dips Rs 7,932 cr due to selling pressure

After plummeting by over 8% during the day, its shares finally ended at Rs 410.15 on the Bombay Stock Exchange (BSE), down 7.29%.

Shares of today slumped more than 7%, wiping out Rs 7,932 crore from its market value, following a muted for the first quarter of 2012-13.

After plummeting by over 8% during the day, its shares finally ended at Rs 410.15 on the Bombay Stock Exchange (BSE), down 7.29%. On the National Stock Exchange, it closed down by 6.99% at Rs 411.10.

The scrip was the worst performer among the blue-chips on both and NSE. On volume front, 1.019 million shares of the company changed hands on the BSE, while more than 6 million shares were traded on the NSE.

"Wipro shares saw selling pressure on muted guidance for Q1 FY13. The company said its IT services revenues would be around $1.52-1.55 billion for April-June quarter, which is just 0.6% higher than Q4 FY12," Sharmila Joshi Head Equity Fairwealth Securities said.

Ashika Stock Brokers Research Head Paras Bothra said: "The numbers were not too great and on top of it the company forecast muted revenue growth was below street expectations and this led to heavy selling in the stock."

Wipro reported 7.7% increase in consolidated net profit at Rs 1,480.9 crore for the fourth quarter, 2011-12.

The company had posted a net profit of Rs 1,375.4 crore during the January-March quarter in 2010-11.

It said during the ongoing quarter (Q1, 2012-13), it expects revenues from IT services business to be in the range of $1,520 million to $1,550 million, assuming that exchange rates of the dollar will be at Rs 50.07.

Other frontline IT stocks such as TCS, Tech Mahindra, HCL Tech fell in the range of 0.5-1.9%.

In the broader market, the BSE benchmark Sensex ended at 17,151.29, down 56 points.

image
Business Standard
177 22

LIVE MARKET

BSE

  ( %)

NSE

  ( %)

More News

  • Textile Trident surges on heavy volumes
  • Crude palm oil up 0.5% on pickup in demand Crude palm oil up 0.5% on pickup in demand

STOCK WATCH

Company Price() Chg(%)
Trident 56.20 12.85
VST Inds. 2300.00 10.30
GRUH Finance 343.80 8.88
J B Chem & Pharm 337.40 8.16
Cox & Kings 192.50 5.97
> More on BSE Gainers
Company Price() Chg(%)
Trident 56.25 12.73
VST Inds. 2282.10 9.08
GRUH Finance 344.00 8.81
Future Lifestyle 134.00 7.98
J B Chem & Pharm 335.85 7.51
> More on NSE Gainers
Company Price() Chg(%)
Shilpa Medicare 545.00 -9.15
Welspun India 49.50 -9.01
Piramal Enterp. 1838.00 -6.08
Jaypee Infratec. 9.20 -4.86
Punj Lloyd 20.75 -4.38
> More on BSE Gainers
Company Price() Chg(%)
Shilpa Medicare 544.00 -9.15
Welspun India 49.50 -8.42
IDBI Bank 70.45 -6.38
Piramal Enterp. 1833.00 -6.20
Jaypee Infratec. 9.10 -5.70
> More on NSE Gainers
Widgets Magazine
Widgets Magazine
Widgets Magazine

Derivatives

Index
Instrument Type
Expiry Date
Option Type
Strike Price

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard