Is Wipro overvalued or undervalued?

As of 5 September 2025, Wipro's valuation grade has moved from very attractive to attractive, indicating a shift in market perception. The company is currently assessed as fairly valued. Key ratios include a PE ratio of 19.03, an EV to EBITDA of 12.40, and a PEG ratio of 0.94, which suggest a reasonable valuation relative to its earnings growth potential.
In comparison to its peers, Wipro's PE ratio is lower than TCS at 22.38 and Infosys at 22.02, both of which are considered attractive and fair, respectively. Additionally, Wipro's EV to EBITDA is also more favorable compared to HCL Technologies, which stands at 14.09. While Wipro has demonstrated a solid ROCE of 31.24% and a dividend yield of 4.50%, the recent stock performance shows a decline of 19.27% year-to-date, contrasting with a 3.29% gain in the Sensex, reflecting some market challenges.