Wipro shares hit 52-week high for second session; buy, sell or hold?

Shares of IT major Wipro Ltd hit their 52-week high in early deal amid a rally in the broader market today. This is the second straight session in which the stock touched fresh 52 week high. Wipro stock climbed 1% to a fresh high of Rs 588.55 in early deals today. Market cap of Wipro stood at Rs 3.07 lakh crore. Total 0.66 lakh shares of the firm changed hands amounting to a turnover of Rs 3.91 crore on BSE. In the previous session, the stock touched a 52 week high of Rs 587.50. 

In terms of technicals, the relative strength index (RSI) of Wipro stands at 63.3, signaling the stock is neither oversold nor overbought on charts. The IT stock is trading higher than the 5 day, 10 day, 20 day, 50 day, 100 day, 150 day and 200 day moving averages. 

Rupak De, Senior Technical Analyst at LKP Securities has assignd a buy call to the IT stock. 

"The ongoing recovery may continue in the short term, potentially pushing the stock higher towards Rs 630. On the downside, support is placed at 559," said De. 

Centrum Broking has assigned a reduce call on the IT stock with a price target of Rs 570. 

JM Financial has a buy call on the stock. 

"Company said that there is a build-up in momentum, from a deal win standpoint. They highlighted that the demand situation is certainly better as compared to the same period last year. The outlook for demand has definitely improved, and if the momentum sustains, they believe they can return to growth. Trump re- election is expected to benefit demand as Trump is pro-growth, clients growing in US is good for IT services demand," the company said in JM Financial India Conference. 

On October 17, the IT firm's board cleared a bonus issue of shares in the ratio of 1:1 of Rs 2 each. The bonus shares will be credited within two months from the date of board approval, i.e., December 15, 2024. Its board fixed Tuesday, December 3, 2024 as the record date for the purpose of determining the equity shareholders of the company eligible for bonus equity shares 

Wipro reported a 21.26 per cent rise year-on-year (YoY), in its September 2024 quarter's consolidated net profit. Profit came at Rs 3,208.8 crore in Q2 against Rs 2,646.3 crore in the year-ago period. The company's revenue from operations fell 0.95 per cent to Rs 22,301.6 crore from Rs 22,515.9 crore in the corresponding period last fiscal.