Is Wipro overvalued or undervalued?

As of 1 October 2025, Wipro's valuation grade has moved from attractive to very attractive, indicating a strong improvement in its perceived value. The company is currently considered undervalued, with a PE ratio of 18.77, an EV to EBITDA ratio of 12.21, and a PEG ratio of 0.93, all of which suggest that it is trading at a discount compared to its growth prospects.
In comparison to its peers, Wipro's PE ratio is significantly lower than TCS's 21.4 and Infosys's 22.03, while its EV to EBITDA is also more favorable than TCS's 15.05. Additionally, Wipro boasts a robust ROCE of 31.24% and a dividend yield of 4.56%, reinforcing its attractiveness as an investment. Despite recent underperformance relative to the Sensex, particularly in the year-to-date and one-year periods, the long-term growth potential remains promising.