Is Wipro overvalued or undervalued?

As of 25 August 2025, Wipro's valuation grade has moved from attractive to very attractive, indicating a stronger outlook for the company. The verdict is that Wipro is currently undervalued. Key ratios include a PE ratio of 19.79, an EV to EBITDA of 12.98, and a PEG ratio of 0.98, all of which suggest that the stock is trading at a discount relative to its earnings growth potential.
In comparison to its peers, Wipro's PE ratio is significantly lower than TCS at 23.06 and Infosys at 23.35, highlighting its relative undervaluation in the market. Additionally, Wipro's EV to EBITDA ratio of 12.98 is more favorable compared to HCL Technologies' 14.98. Despite recent stock performance trailing the Sensex, particularly with a year-to-date return of -15.99% versus the Sensex's 4.48%, the underlying financial metrics suggest that Wipro presents a compelling investment opportunity at its current price of 253.70.