Wipro shares fall over 3% after Q1 results. Why have Nomura, Motilal & others cut target prices?

Wipro shares fell over 3% after Q1 results as multiple brokerages cut target prices. Revenue rose 11% year-on-year to about Rs 24,479 crore, but constant currency revenue declined 1.2% sequentially and EBIT margin of 16% missed estimates of 16.5%. The company guided Q2 IT services revenue to range from a 1.5% decline to a 0.5% rise sequentially in constant currency, citing macro and geopolitical uncertainty. Nomura cut its target to Rs 190, Nuvama slashed it to Rs 210 from Rs 255, and Motilal Oswal maintained a Neutral rating with a Rs 160 target. Wipro also declared an interim dividend of Rs 2 per share.