WIT vs. ZM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at WIT and ZM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
WIT trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, ZM is a standard domestic listing.
| Symbol | WIT | ZM |
|---|---|---|
| Company Name | Wipro Limited | Zoom Communications Inc. |
| Country | India | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | IT Services | Software |
| Market Capitalization | 30.05 billion USD | 21.83 billion USD |
| Exchange | NYSE | NasdaqGS |
| Listing Date | October 19, 2000 | April 18, 2019 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of WIT and ZM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | WIT | ZM |
|---|---|---|
| 5-Day Price Return | 3.85% | 0.42% |
| 13-Week Price Return | 0.02% | -13.38% |
| 26-Week Price Return | -21.37% | -15.27% |
| 52-Week Price Return | -3.52% | 20.63% |
| Month-to-Date Return | 1.04% | -2.55% |
| Year-to-Date Return | -16.94% | -11.58% |
| 10-Day Avg. Volume | 7.26M | 2.71M |
| 3-Month Avg. Volume | 10.54M | 2.64M |
| 3-Month Volatility | 19.65% | 21.48% |
| Beta | 0.67 | 0.78 |
Profitability
Return on Equity (TTM)
WIT
15.98%
IT Services Industry
- Max
- 29.51%
- Q3
- 16.98%
- Median
- 13.47%
- Q1
- 7.93%
- Min
- -3.97%
WIT’s Return on Equity of 15.98% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
ZM
11.97%
Software Industry
- Max
- 59.01%
- Q3
- 21.98%
- Median
- 7.15%
- Q1
- -11.12%
- Min
- -51.24%
ZM’s Return on Equity of 11.97% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
WIT
15.08%
IT Services Industry
- Max
- 19.82%
- Q3
- 11.49%
- Median
- 6.67%
- Q1
- 3.61%
- Min
- -4.62%
A Net Profit Margin of 15.08% places WIT in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.
ZM
22.31%
Software Industry
- Max
- 48.14%
- Q3
- 18.23%
- Median
- 5.60%
- Q1
- -9.22%
- Min
- -49.36%
A Net Profit Margin of 22.31% places ZM in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
WIT
16.91%
IT Services Industry
- Max
- 21.69%
- Q3
- 14.50%
- Median
- 10.06%
- Q1
- 6.98%
- Min
- 0.06%
An Operating Profit Margin of 16.91% places WIT in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
ZM
18.13%
Software Industry
- Max
- 57.34%
- Q3
- 20.60%
- Median
- 7.84%
- Q1
- -8.72%
- Min
- -51.37%
ZM’s Operating Profit Margin of 18.13% is around the midpoint for the Software industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | WIT | ZM |
|---|---|---|
| Return on Equity (TTM) | 15.98% | 11.97% |
| Return on Assets (TTM) | 10.44% | 9.72% |
| Net Profit Margin (TTM) | 15.08% | 22.31% |
| Operating Profit Margin (TTM) | 16.91% | 18.13% |
| Gross Profit Margin (TTM) | 30.34% | 75.85% |
Financial Strength
Current Ratio (MRQ)
WIT
2.40
IT Services Industry
- Max
- 2.42
- Q3
- 1.81
- Median
- 1.47
- Q1
- 1.09
- Min
- 0.44
WIT’s Current Ratio of 2.40 is in the upper quartile for the IT Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
ZM
4.57
Software Industry
- Max
- 3.83
- Q3
- 2.31
- Median
- 1.45
- Q1
- 1.03
- Min
- 0.24
ZM’s Current Ratio of 4.57 is exceptionally high, placing it well outside the typical range for the Software industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
Debt-to-Equity Ratio (MRQ)
WIT
0.18
IT Services Industry
- Max
- 2.33
- Q3
- 1.17
- Median
- 0.54
- Q1
- 0.15
- Min
- 0.00
WIT’s Debt-to-Equity Ratio of 0.18 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
ZM
0.00
Software Industry
- Max
- 2.14
- Q3
- 0.90
- Median
- 0.29
- Q1
- 0.00
- Min
- 0.00
ZM’s Debt-to-Equity Ratio of 0.00 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
WIT
--
IT Services Industry
- Max
- 144.50
- Q3
- 84.49
- Median
- 13.76
- Q1
- 2.59
- Min
- -28.13
Interest Coverage Ratio data for WIT is currently unavailable.
ZM
7.63
Software Industry
- Max
- 67.02
- Q3
- 19.86
- Median
- 0.70
- Q1
- -12.50
- Min
- -53.00
ZM’s Interest Coverage Ratio of 7.63 is positioned comfortably within the norm for the Software industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | WIT | ZM |
|---|---|---|
| Current Ratio (MRQ) | 2.40 | 4.57 |
| Quick Ratio (MRQ) | 2.34 | 4.47 |
| Debt-to-Equity Ratio (MRQ) | 0.18 | 0.00 |
| Interest Coverage Ratio (TTM) | -- | 7.63 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
WIT
0.20%
IT Services Industry
- Max
- 2.80%
- Q3
- 1.74%
- Median
- 0.62%
- Q1
- 0.00%
- Min
- 0.00%
WIT’s Dividend Yield of 0.20% is consistent with its peers in the IT Services industry, providing a dividend return that is standard for its sector.
ZM
0.00%
Software Industry
- Max
- 0.08%
- Q3
- 0.03%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ZM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
WIT
175.79%
IT Services Industry
- Max
- 147.75%
- Q3
- 63.58%
- Median
- 24.63%
- Q1
- 0.00%
- Min
- 0.00%
At 175.79%, WIT’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the IT Services industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
ZM
0.00%
Software Industry
- Max
- 1.32%
- Q3
- 0.53%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ZM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | WIT | ZM |
|---|---|---|
| Dividend Yield (TTM) | 0.20% | 0.00% |
| Dividend Payout Ratio (TTM) | 175.79% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
WIT
19.13
IT Services Industry
- Max
- 41.55
- Q3
- 31.54
- Median
- 23.25
- Q1
- 18.12
- Min
- 6.57
WIT’s P/E Ratio of 19.13 is within the middle range for the IT Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
ZM
21.69
Software Industry
- Max
- 149.35
- Q3
- 100.21
- Median
- 47.97
- Q1
- 26.77
- Min
- 11.68
In the lower quartile for the Software industry, ZM’s P/E Ratio of 21.69 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Price-to-Sales Ratio (TTM)
WIT
2.89
IT Services Industry
- Max
- 6.61
- Q3
- 4.37
- Median
- 2.02
- Q1
- 1.20
- Min
- 0.19
WIT’s P/S Ratio of 2.89 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
ZM
4.84
Software Industry
- Max
- 25.24
- Q3
- 13.52
- Median
- 8.15
- Q1
- 4.87
- Min
- 0.98
In the lower quartile for the Software industry, ZM’s P/S Ratio of 4.84 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio (MRQ)
WIT
3.21
IT Services Industry
- Max
- 11.19
- Q3
- 6.38
- Median
- 3.47
- Q1
- 2.31
- Min
- 0.96
WIT’s P/B Ratio of 3.21 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
ZM
2.66
Software Industry
- Max
- 30.95
- Q3
- 14.91
- Median
- 7.75
- Q1
- 3.60
- Min
- 0.38
ZM’s P/B Ratio of 2.66 is in the lower quartile for the Software industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | WIT | ZM |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 19.13 | 21.69 |
| Price-to-Sales Ratio (TTM) | 2.89 | 4.84 |
| Price-to-Book Ratio (MRQ) | 3.21 | 2.66 |
| Price-to-Free Cash Flow Ratio (TTM) | 16.54 | 13.36 |