IIFL Institutional Equities, a part of the IIFL Group, one of the leading players in the Indian financial services space, recommends “Buy” Wipro.
According to IIFL report,during the investor meetings at IIFL’s conference in Singapore and Hong Kong earlier this week, Wipro’s management reiterated strong improvement in client satisfaction, contract sizes and deal pipelines compared with last year.
IIFL said, “ We continue to believe that Wipro’s restructuring has significantly improved its sales effectiveness and delivery efficiency. However, this is not showing in the company’s growth rates yet because of the tepid demand environment.
As such, we expect Wipro’s 1HFY13 growth to remain lacklustre. Nevertheless, we share some of the management’s optimism of a relatively stronger 2HFY13 on the back of an improvement in business traction. Retain BUY, brokerage added.
The report was published by IIFL’s Institutional Equities Research desk.