Comparable Company Analysis: Wipro Limited (WIT), Enerplus Corporation (ERF)

You should consider shares of Wipro Limited (NYSE:WIT) and Enerplus Corporation (NYSE:ERF) if you are looking for a great stocks to invest in. Starting with the WIT shares, which traded at $3.61 at the close of the recent session, dropping -0.82%. On Tuesday, the company’s shares shed -$0.03 from its value which represented in intraday trading. The stock is now -7.79% lower in year-to-date (YTD) trading. WIT’s intraday high was $3.63 while its lowest price touched $3.59. The stock’s 52-week high price is $4.63, which means the current price is at -21.95%. In terms of trading activity, the daily trading volume rose to 1928035 against 200-day average trading volume of 1,434,813 shares.

What are analyst forecasts for Wipro Limited (NYSE:WIT)?

At a consensus rating of 2.25, WIT is trending as a streaking Moderate Sell, as it has been the case a month ago when 4 analysts called it a Moderate Sell. Two months ago, 4 analysts recommended, on average, that WIT stock is a Moderate Sell. The Technology company’s shares’ overall bearish trend saw it close higher on Tuesday compared to its opening price of $3.60 on the day.

Forecasts for Wipro Limited (NYSE:WIT) give the stock a fair value for the growth of 0.55% from its last price. The 12-month price forecast for the stock by analysts puts the stock’s mean price target at $3.63, which means the price per share could rise by nearly $0.02. The price range target is between a low of $2.93 and a high of $3.99. The stock would need to gain by about $9.52 to hit the estimated high or 0.97% from its 12-month low.

The consensus among 45 analysts is that it is a good time for one to Underweight in the Wipro Limited. 2 analysts rate WIT as a Buy, with 15 of 45 analysts rate it as a Sell. 5 have valued the stock as Overweight and 18 have recommended that investors Hold.

Wipro Limited (NYSE:WIT) Upgrades and Downgrades

In terms of rating changes, Goldman on November 21, 2019, Downgrade Wipro Limited (WIT) at Sell. Analysts at Credit Suisse have assigned a Neutral rating for the stock in their research note on October 15, 2019. Moreover, Goldman analysts issued a rating of Neutral for the stock on October 03, 2019. On February 26, 2019, the stock earned a Underperform rating due to an analyst call from Credit Suisse, while analysts from Credit Suisse on January 22, 2019 suggested that the stock is Neutral.

Enerplus Corporation (NYSE:ERF) adds -$0.2 on Tuesday

The ERF stock has tanked -23.32% year-to-date and is currently trading at $5.95, which is -42.79% below its 52-week high. The company shares lost -3.25% on the day and have risen nearly 8.18% off a low hit. At current levels, Enerplus Corporation has a valuation of about $944.90M. As of 12/03/19, this stock has fallen -8.32% during the week and closed at $6.15 in the previous session. However, recent Enerplus Corporation stock performance shows that ERF shares are -5.41% down over the last month, and -12.24% down for the last three months.

Earnings per share (EPS) estimates for the current quarter are $0.04, with the trailing 12-month share earnings at $1.32. The ratio is expected to be up by 143.30% for the current year 2019 and 11.10% for next year. Over the next 5-year period, earnings per share will be 120.02%. But will the ERF stock surprise in the current quarter results, where the $0.06 actual EPS reported on 9/29/2017 surprised by -14.30% or was lower by -$0.01 from the estimated $0.07.

Sales Growth to climb 15.80% for the year

How well will Enerplus Corporation perform as a business over the current quarter, year and next 5-year period? Compared to the year-ago quarter, analysts forecast the company to bring in between $188.88M and $260.74M in current quarter sales. The consensus estimated for the current quarter is $224.81M from sales. Forecasts for this fiscal year are between $863.57M and $941.13M and the consensus estimate for sales is at $896.75M. ERF has its next quarter sales estimates at between $249.53M and $249.53M, with the quarter-over-quarter growth estimates at 7.30% and the annual growth forecast for the year at 15.80%.

Who owns shares in Enerplus Corporation (ERF)?

Let’s briefly focus on the share ownership of the Enerplus Corporation (NYSE:ERF) stock, where we find that 67.16% of shares are held by institutions. Encompass Capital Advisors, LLC tops the list of institutional owners as it is holding 9.95 million shares or 4.48% of shares outstanding. Royal Bank of Canada and Wellington Management Company, LLP held 8.0 million and 6.98 million representing 3.60% and 3.14% respectively at the close of the last trading session. As of Sep 29, 2019, Letko, Brosseau & Associates Inc. accounted for 6.6 million shares at over 49.13 million. This represented 2.97% of shares outstanding. Vanguard Group, Inc. (The) held 6.38 million shares at over 47.46 million representing 2.87% of shares outstanding.