Wipro shares reverse early gains, end lower

Shares of Wipro on Monday settled witha decline of 1.7 per cent on the bourses, as they failed to sustain the earlygains derived from a robust set of second quarter results by the company.

The stock had surged by nearly 3 per cent to touch a high ofRs 384.80 on the BSE and Rs 385 on the NSE earlier in the day, after the ITmajor reported a consolidated net profit of Rs 1,300.9 crore for theJuly-September quarter.

However, the stock reversed its intra-day gains and settled1.70 per cent lower at Rs 366.45 at the BSE.

On the National Stock Exchange, the stock opened at Rs 375,then jumped by as much as 2.92 per cent to a high of Rs 385. The stock finallysettled at Rs 367.40, down 1.78 per cent for the day.

"The uptrend in the counter earlier during the day waslargely owing to the fact that the the company has come out with a good set ofnumbers after many quarters. The September quarter numbers are in line withmarket expectations," Ashika Stock Brokers research head Paras Bothrasaid.

He said that the stock later fell due to profit booking.

Market experts said that the overall bearishness in thebroader market also affected the stock, with the 30-share benchmark Sensexsettling at 17,705.01 points, down by 99.79 points.

Wipro reported a marginal increase in its consolidated netprofit to Rs 1,300.9 crore for the quarter ended September 30, 2011, as againstRs 1,284.9 crore in the year-ago period.

Net income from sales during the reporting quarter stood atRs 9,094.5 crore, up nearly 18 per cent from the second quarter of last fiscal.