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Mumbai: Wipro Ltd on Thursday touched 3 trillion in market capitalisation for the first time, and became the third Indian IT firm to achieve this milestone.

The stock hit a record high of 550 in early trade and its market capitalisation stood at 3.01 trillion. India's benchmark equity index Sensex rose 0.6% to 52,169 points.

So far this year, Wipro has gained 41%. Since June 2020 lows, it has surged nearly 164%.

Tata Consultancy Services and Infosys are the two other IT companies to have achieved this feat. India has total 13 listed firms that have crossed the 3 trillion m-cap. Wipro now ranks 14th.

Reliance Industries is India's most valued company with a market capitalisation of 14.05 trillion, followed by Tata Consultancy Services Ltd and HDFC Bank with m-cap of 11.58 trillion and 8.33 trillion, respectively.

Wipro stock has surged since Thierry Delaporte joined as CEO and MD of the company. Delaporte slashed the top ranks of leadership from 25 people to four. The firm won its largest deal ever from German retailer Metro and has seen strong deal wins of $7.1 billion of which $2.6 billion are large deals in second half of 2021, and healthy traction in digital technologies like cloud, customer experience and cyber securities in fourth quarter.

This, coupled with the restructuring of organisation, client mining and aspiration to win one large deal every quarter will lead to sustained revenue growth in the longer run, analysts said.

"We believe Wipro’s strong full services capabilities across applications, infra, BPS and engineering will help in winning integrated deals and help win large deals as seen in recent quarters. Hence, we expect the company to register 21% YoY dollar revenue growth in FY22E (of which 13% is organic and rest through acquisition) and 13% YoY in FY23E," said ICICI Direct in a note to its investors.

Brokerage firm Elara Capital has retained its 'buy' rating on the stock with a target price of 529 on "24x FY23E EPS of 22".

"The new CEO’s strategy refresh, which could: revive growth on improving win rates and underlying uptick in digital demand and drive higher profitability. Strong cash conversion, net cash at Rs34500 crore and strong capital allocation provide cushion to our call," Elara added.

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