As the Wipro releases it’s Quarter 4 results, there has been a seriously huge hit amidst the COVID-19 outbreak.
The IT sector has been bigly affected by the pandemic. While Infosys Ltd. and HCL Technologies Ltd. had a drop of about 2.5%, the Tech Mahindra Ltd. and Hexaware Ltd. fell by around 4-6%.
The global pandemic has badly affected all the economies and now it is depicted in the results of Q4 from Wipro. TCS is assumed to have the same results, reflecting the revenue loss from the pandemic. This is predicted to be bigger than a global crisis.
“Wipro’s commentary indicates a tough near-term operative environment post-covid-19, with a cut-back in discretionary spend, restructuring of existing contracts, plus demands for rate-card cuts/relaxed credit terms coming faster – and higher – than our earlier expectations,” said analysts at JM Financial Institutional Securities Ltd.
With the decline in the share values, the Investors of Infosys Ltd. and HCL Technologies Ltd. are panicked. With this undetermined pandemic period, there is a very small ray of hope. Wipro is assumed to continue to underperform for a few more months.
