Wipro Shares Drop Over 4% After Q2 Results; Jefferies Calls Risk-Reward ‘Unattractive’

Shares of Wipro Ltd. fell over 4% in early trade on Friday, a day after the IT major reported its September quarter (Q2 FY26) results. The stock dropped to ₹242.8 on the NSE, while its US-listed ADRs also ended 2.5% lower overnight.

The quarterly results, released post-market hours on Thursday, triggered mixed reactions from analysts. Of the 47 analysts tracking the stock, 16 have a “sell” rating, 13 recommend “buy,” and 18 suggest holding the stock.

Analyst views on Wipro Q2 results

Nomura:

Nomura maintained a “buy” rating on Wipro with a target price of ₹280 per share, implying a 10% upside from Thursday’s close. The brokerage said Wipro’s second-quarter earnings beat expectations on several parameters. It also highlighted the company’s robust deal wins and focus on maintaining EBIT margins despite ongoing headwinds.

According to Nomura, Wipro’s FY27 dividend yield stands at 4%, and the stock trades at 19.8x FY27 estimated EPS.

Jefferies:

Jefferies, however, issued an “underperform” rating with a price target of ₹220, suggesting a potential 13% downside. The brokerage said Wipro’s Q2 results were in line with estimates, after adjusting for a ₹120 crore one-time charge. While strong deal bookings indicated a positive outlook, Jefferies expects only modest EPS growth of 3% CAGR between FY26 and FY28.

Factoring in a 3% dividend yield, the firm described Wipro’s risk-reward profile as “unattractive.”

Q3 outlook

Wipro guided for Q3 FY26 revenue growth in the range of -0.5% to +1.5% on a constant currency basis, excluding the impact of its recent Harman Digital Transformation Solutions acquisition.

Despite strong deal momentum, analysts remain divided on Wipro’s near-term growth trajectory as the company navigates margin pressures and a soft global IT demand environment.