X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Wipro: Ready for tomorrow - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Sep 4, 2001

    Wipro: Ready for tomorrow

    Wipro is one of the very few Indian software companies that offer a complete Bluetooth solution set. The company’s offerings include Bluewave Hardware Baseband Controller, Bluewave Software Baseband Controller and Bluewave Software Protocol Stack.

    For an introduction to Bluetooth please follow this link

    While the Bluewave Hardware Baseband Controller Core is provides a configurable interface to a standard Bluetooth radio module, the Bluewave software Baseband Controller is a C source code implementation of the Bluetooth baseband functionality. The software baseband controller offers a flexible software implementation of the baseband functionality for quick prototyping. The software protocol stack is a portable software that offers support for multiple operating systems and includes the first thirteen profiles as defined by the Bluetooth specification.

    Wipro recently became the second company in the world to have all thirteen Bluetooth profiles (Version 1.1) with product qualification status from the Bluetooth Qualification Body (BQB). The Bluetooth Qualification Program (BQP) is important because successful qualification implies assured interoperability with different solutions and vendors as well as complete standard conformance. The Bluetooth Specification for particular services, applications and use scenarios, specifies Bluetooth application profiles. The risk of interoperability problems between two different vendors' products is diminished if both conform to the same 'Profile' specification.

    With the profiles, Wipro completes qualification for its entire suite of Bluetooth offerings, adding to its previous qualification of its BlueWave baseband controller and software stack, which had been qualified in April 2001. The company now plans to get into newer profiles like Hands Free Car Profile, HID (Human Interface Devices), PAN (Personal Area Networking) qualified in the near future.

    Wipro’s solutions in this area includes Intellectual Property (IP) building blocks with a suite of hardware and embedded design services that can be seamlessly integrated into the customer's design. The Bluetooth IPs can be plugged into any design be it a complex system-on-chip (SoC) or an embedded subsystem. Wipro competitive advantage lies in the fact that the company not only provides a complete set of Bluetooth IP solutions but can also leverage its embedded design capabilities to give the customers an end-to-end solution. Such design services are supported by the company’s strategic alliances with ARM and Symbian, as well as with library vendor Artisan and foundry partner TSMC.

    Wipro has set for it self to become one of the top ten technology companies in the world. In 1QFY02, 52% of Wipro Technologies’ (Global IT services business) revenues came from the R&D group. The most dominant practice from the R&D group was that of telecom and Internet working. The practice contributed 30% to the revenues of Wipro Technologies. The contribution of embedded systems and Internet access was a 19%. The telecom and embedded practices have shown a marginal decline in revenues (QoQ) in 1QFY02, this was largely due to the fact that Wipro did not compromise on its billing rates. Infact for the first quarter of FY02 the company managed a sequential rise in billing rates of 3.4% for onsite projects and 2.6% for offshore work.

    R&D group (Rs m) 4QFY01 1QFY02 Change
    Telecom and Internet working 1,603 1,563 -2%
    Embedded systems and Internet access 1,034 990 -4%
    Telecom and Internet Service provider practice 155 156 1%
    Total 2,792 2,709 -3%

    At the current market price of Rs 1,416 the stock is trading at a P/E multiple of 40 times its 1QFY02 annualised earnings. No doubt low liquidity of the stock is to a certain extent responsible for the high valuations. But the real reason behind the valuations is the company technology focus that gives it the edge above its competitors. The valuations are likely to remain stable unless the sector has a whole undergoes a re-rating.

     

     

    Equitymaster requests your view! Post a comment on "Wipro: Ready for tomorrow". Click here!

      
     

    More Views on News

    Wipro: A Decent Start to the Year (Quarterly Results Update - Detailed)

    Jul 27, 2017

    Digital services drive growth for Wipro in 1QFY18.

    Wipro: A Good Performance (Quarterly Results Update - Detailed)

    May 4, 2017

    Acquisitions and digital services aid growth.

    Wipro: Another Flat Quarter (Quarterly Results Update - Detailed)

    Feb 9, 2017

    Wipro has reported a 1% QoQ decrease in the consolidated topline and a 1.9% QoQ increase in the consolidated bottomline for the quarter ended December 2016.

    Tech Mahindra: Our Revised View (Quarterly Results Update - Detailed)

    Aug 2, 2017

    A better than expected turnaround in performance results in a change in view.

    Infosys: A Decent Start to FY18 (Quarterly Results Update - Detailed)

    Jul 14, 2017

    Infosys starts FY18 on an encouraging note with a stable performance.

    More Views on News

    Most Popular

    A 'Backdoor' to Multibaggers: It's Like Investing in Asian Paints Ten Years Ago(The 5 Minute Wrapup)

    Aug 10, 2017

    Don't miss these proxy bets on growing companies or in a few years you will be looking back with regret.

    The Most Important Innovation in Finance Since Gold Coins(Vivek Kaul's Diary)

    Aug 10, 2017

    Bill connects the dots...between money and growth, real money and real resources, gold and cryptocurrencies...and between gold, cryptocurrencies, and time.

    Signs of Life in the India VIX(Daily Profit Hunter)

    Aug 12, 2017

    The India VIX is up 36% in the last week. Fear has gone up but is still low by historical standards.

    Bitcoin Continues Stellar Rise(Chart Of The Day)

    Aug 10, 2017

    Bitcoin hits an all-time high, is there more upside left?

    5 Steps To Become Financially Independent(Outside View)

    Aug 16, 2017

    Ensure your financial Independence, and pledge to start the journey towards financial freedom today!

    More
    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    WIPRO SHARE PRICE


    Aug 22, 2017 (Close)

    TRACK WIPRO

    WIPRO 5-YR ANALYSIS

    Detailed Financial Information With Charts

    COMPARE WIPRO WITH

    MARKET STATS