HCLTech, Wipro results today: Top watchlist for Dalal Street, trading strategy
Infosys and Tata Consultancy Services, Dalal Street investors’ attention will shift to HCLTech and Wipro, who will release their quarterly numbers later today.
Brushing off the seasonality factor, HCLTech is expected to report strong earnings for the December quarter, while Wipro may continue to disappoint the market.
If we look at the performance of HCLTech and Wipro stocks in the last quarter, then the former has rallied nearly 19% and the latter about 16%.
Entering into the new year, HCLTech shares are still holding on to gains, whereas the frenzy fizzled out in Wipro as the stock has corrected about 5% so far this month.
Whether Wipro shares will correct further or HCLTech shares sustain the upward momentum depends upon their earnings scorecard.
What to expect from HCLTech?
The IT major is seen reporting a nearly 5% sequential rise in consolidated revenue to Rs 27,959.40 crore, and net profit is expected to increase by nearly 7% to Rs 4,085 crore, according to the average of estimates given by 11 brokerage firms.
In constant currency terms, analysts expect HCLTech’s revenue to grow 4.6% sequentially in the quarter gone by.
Analysts widely expect HCLTech to retain its revenue growth and margin guidance for FY24.
“We would be looking out for comments on recovery of ERS demand after sharp decline, updates on large deals won in past quarters, and an update on the acquisition strategy and capital allocation policy,” said Dhruv Mudaraddi, Research Analyst at Stoxbox.
Also Read | HCLTech Q3 Preview: Revenue to grow better than peers
What to expect from Wipro?
Hit by higher than usual furloughs and weak discretionary demand environment, Wipro is likely to see a 2.5-3.2% sequential decline in constant currency
Read more on economictimes.indiatimes.com
