Wipro, Adani Ports, ITC, RIL, Tata Steel shares in focus on Sensex rejig today

Shares of Adani Ports & Special Economic Zone Ltd (Adani Ports) will be entering Sensex club today. Wipro Ltd, one of the 30 constituents of the BSE barometer, will exit the index, as per the semi-annual reshuffling announced earlier. The inclusion of Adani Ports is seen resulting in passive inflows to the tune of $259 million while Wipro could see passive outflows to the tune to $170 million, analysts said.

Bharti Airtel, Infosys, Kotak Mahindra Bank, ICICI Bank, Tech Mahindra, Tata Steel and IndusInd Bank are some of the stocks, whose weights may go up and the stocks may se up to $47 million inflows, as per Nuvama Institutional Equities.

On the other hand, shares such as Mahindra & Mahindra, Reliance Industries, Bajaj Finserv, HDFC Bank, Maruti Suzuki India, ITC and Larsen & Toubro may see fall in weights and up to $52 million outflows.

Wipro

In the case of Wipro, the IT stock is up 6 per cent in the past one month and 28 per cent in the past one year.

"We estimate (0.5 per cent) CC QoQ revenue growth in 1QFY25 as against (1.5 per cent) to 0.5 per cent CC growth guidance, putting us exactly at the mid-point of the guidance. There will be a cross-currency headwind of 70bps," Nirmal Bang said on Wipro.

Nirmal Bang said the growth number may come on the back of the cautiously optimistic guidance by Wipro and slow discretionary spending, which was indicated by Wipro in the last earnings call. In terms of TCV, Wipro has been delivering $3 billion-plus for the last six consecutive quarters with 4QFY24 TCV at a healthy $3.6 billion. Nirmal Bang expects TCV to not fall below $3 billion.

"This also comes on the back of Wipro’s efforts to let go of some small and loss-making accounts and chase larger deals. The larger issue for Wipro is conversion of TCV to revenue, which seems to be more acute than its peers," it said.

Adani Ports

Adani Ports, a consensus Buy, has received a 'Reduce' rating from InCred Equities as the brokerage trimmed its Ebitda estimates while maintaining margin projections for the Adani group firm. Adani Ports has 19 'Buy' calls, two 'hold' and no sell recommendation so far.

InCred Equities said APSEZ’s cargo may see 8.5 per cent growth annually over FY24-26. It said while its growth estimate for Adani Ports may seem at odds with 17.1 per cent compounded annually over FY20-24, but excluding acquisitions over FY21-24, volume CAGR was at 7.7 per cent.

Adani Ports shares are up 5 per cent in the past one month and 105 per cent in the past one year.