Buy Wipro on 5-10% decline: Phani Sekhar

Phani Sekhar, Angel Broking advises investors to buy Wipro on 5-10 percent decline.
 
Sekhar told CNBC-TV18, “It would be a good idea if we can buy Wipro on declines because the company is still in a transition phase where it is trying to get its sales engine in order. It is the last of the block to not to get this and even if you assume that over the next three-four quarters, they get their act together and start maintaining their market share and not underperform the industry growth rate, we are still looking at earnings, which will potentially lag the topline growth.”
 
He further added, “The valuations are not cheap in the case of Wipro as compared to maybe an Infosys which has started to get its act together. So, my advise to the investor would be to look at buying Wipro i.e. pure IT business on maybe 5-10 percent declines from these levels from a longer-term perspective.”