Wipro board will consider a proposal for equity buyback in its meeting to be held next week.
Wipro board will consider a proposal for equity buyback in its meeting to be held next week. It will be third buyback after Rs 2,500 crore worth of shares in 2016 and Rs 11,000 crore worth of shares in 2017.
“Board will consider a proposal for buyback of equity shares of the Company at its meeting scheduled to be held on April 16, 2019”, Azim premji-led Wipro said in a regulatory filing.
Here is what global brokerages have to say
The global brokerage maintains ‘underweight’ rating on the IT firm with a target of Rs 225 against the current price of Rs 281.25. The discount to Infosys has already narrowed, the brokerage added. Narrowing of P/E discount will require a strong execution on revenue front, the brokerage also said.
The brokerage maintains ‘neutral’ rating on the IT firm with a target of Rs 270 against current price of Rs 281.25. The acceptance ratio for retail shareholders is likely to be 100 per cent, it added. The acceptance ratio for institutions is seen at 5.6 per cent, it added. The stock price movement from the last buyback suggest near-term support, it noted.
Wipro shares were trading at Rs 281.25, higher 0.25 points, or 0.089 per cent on BSE at the time of reporting.
Meanwhile, IT services major had posted a 31.8 percent increase in consolidated net profit at Rs 2,544.5 crore for Q3FY18 compared to the year-ago period. Wipro’s revenue from operations expanded 10.17 per cent to Rs 15,059.5 crore during the period under review from Rs 13,669 crore in the third quarter of FY18.