IT services player Wipro dipped 3.3% to Rs 173 on the BSE on Friday after reporting a 1% year-on-year (YoY) growth in its consolidated net profit at Rs 3,352 crore in the June quarter, compared with Rs 3,330 crore in the last year period.

Revenue from operations rose 11% YoY to Rs 24,479 crore in the first quarter. The same stood at Rs 22,135 crore in the last year quarter

The company maintained a cautious outlook for the September quarter, guiding for IT services revenue to range between a 1.5% decline and a 0.5% increase in constant currency (CC) terms.

For the September quarter, Wipro expects IT services revenue in the range of $2.574 billion to $2.627 billion, implying CC growth of -1.5% to +0.5% sequentially.

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CEO and MD Srini Pallia said clients are increasingly moving beyond technology modernisation to AI-led operating models.

Buy, sell or hold Wipro shares?

Nomura maintained its Buy rating on Wipro but cut the target price to Rs 190 from Rs 200, implying an upside of 6.7%. The brokerage said Wipro delivered a subdued Q1FY27, with constant currency revenue declining 1.2% QoQ, in line with expectations, while the EBIT margin of 16% missed its estimate of 16.5%.

It also noted that the company's Q2FY27 revenue guidance of -1.5% to +0.5% QoQ in constant currency, including an estimated 70 bps inorganic contribution, was slightly below its expectations. Management attributed the cautious outlook to macroeconomic uncertainty and geopolitical instability.

Nuvama retained its Buy rating on Wipro but lowered the target price to Rs 210 from Rs 255, implying an upside of 18%, after weak Q1 results and softer-than-expected Q2 guidance. The brokerage expects another year of muted growth following the company's 1.6% constant currency revenue decline in FY26 and has trimmed its FY27 and FY28 earnings estimates by around 2% due to lower growth assumptions.

It said the stock remains attractive at 13x FY27 P/E, with a 7% dividend yield, supporting its positive stance despite lowering the valuation multiple to 15x FY28E from 18x earlier.

Also read: Wipro declares interim dividend worth Rs 2/share, fixes record date. Check details