Wipro Earnings: Major Customers Size Up Bookings as Sector Performances Diverge; Shares Attractive

Narrow-moat Wipro reported first-quarter earnings slightly below our expectations on the top line due to near-term macroeconomic softness, especially in the Americas market. However, we are encouraged by the continued addition of major customers in the top bracket contributing over $100 million of revenue annually. Overall, we believe that once customers are acquired, they are sticky and likely there to stay. Plus, we think larger customers are stickier by nature.