DXC Technology (NYSE:DXC) Stock Rating Lowered by Zacks Research

DXC Technology (NYSE:DXC) was downgraded by stock analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report issued on Tuesday,Zacks.com reports.

DXC has been the topic of several other reports. Wall Street Zen downgraded shares of DXC Technology from a “buy” rating to a “hold” rating in a report on Saturday, March 28th. TD Cowen cut their price target on shares of DXC Technology from $15.00 to $14.00 and set a “hold” rating on the stock in a report on Monday, April 6th. Wolfe Research set a $13.00 price target on shares of DXC Technology and gave the company an “underperform” rating in a report on Friday, January 30th. Weiss Ratings downgraded shares of DXC Technology from a “sell (d+)” rating to a “sell (d)” rating in a report on Monday. Finally, BMO Capital Markets cut their price target on shares of DXC Technology from $17.00 to $10.00 and set a “market perform” rating on the stock in a report on Monday. Six equities research analysts have rated the stock with a Hold rating and four have given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Reduce” and an average price target of $13.50.

DXC Technology Stock Down 7.8%

Shares of NYSE DXC opened at $8.21 on Tuesday. The firm’s 50-day moving average price is $11.96 and its 200-day moving average price is $13.28. The company has a current ratio of 1.36, a quick ratio of 1.35 and a debt-to-equity ratio of 0.94. The stock has a market capitalization of $1.34 billion, a price-to-earnings ratio of 136.75 and a beta of 0.85. DXC Technology has a 12-month low of $7.90 and a 12-month high of $17.07.

DXC Technology (NYSE:DXC) last announced its earnings results on Thursday, May 7th. The company reported $0.77 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.70 by $0.07. The firm had revenue of $3.13 billion for the quarter, compared to analysts’ expectations of $3.17 billion. DXC Technology had a net margin of 0.14% and a return on equity of 17.24%. The business’s revenue was down 1.2% compared to the same quarter last year. During the same period in the prior year, the company earned $0.84 EPS. DXC Technology has set its Q1 2027 guidance at 0.400-0.400 EPS and its FY 2027 guidance at 2.400-2.900 EPS. On average, equities research analysts anticipate that DXC Technology will post 2.74 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Raul J. Fernandez bought 28,051 shares of the company’s stock in a transaction on Monday, May 11th. The shares were acquired at an average cost of $8.90 per share, for a total transaction of $249,653.90. Following the purchase, the chief executive officer directly owned 844,052 shares of the company’s stock, valued at approximately $7,512,062.80. The trade was a 3.44% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.61% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On DXC Technology

A number of hedge funds have recently added to or reduced their stakes in DXC. Royal Bank of Canada grew its stake in DXC Technology by 156.3% in the 1st quarter. Royal Bank of Canada now owns 99,930 shares of the company’s stock worth $1,703,000 after acquiring an additional 60,935 shares in the last quarter. Goldman Sachs Group Inc. grew its stake in DXC Technology by 4.1% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,239,558 shares of the company’s stock worth $21,134,000 after acquiring an additional 49,228 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in DXC Technology by 4.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 735,597 shares of the company’s stock worth $12,542,000 after acquiring an additional 34,544 shares in the last quarter. Creative Planning grew its stake in DXC Technology by 83.9% in the 2nd quarter. Creative Planning now owns 21,863 shares of the company’s stock worth $334,000 after acquiring an additional 9,972 shares in the last quarter. Finally, EverSource Wealth Advisors LLC grew its stake in DXC Technology by 240.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,737 shares of the company’s stock worth $27,000 after acquiring an additional 1,227 shares in the last quarter. 96.20% of the stock is currently owned by institutional investors.

DXC Technology Company Profile

DXC Technology, headquartered in Tysons Corner, Virginia, is a global leader in IT services and solutions. The company was formed in 2017 through the merger of Computer Sciences Corporation (CSC) and the Enterprise Services business of Hewlett Packard Enterprise, combining decades of experience in consulting, systems integration and managed services. Since its inception, DXC has focused on helping clients modernize IT environments and drive digital transformation across their organizations.

DXC Technology’s core service offerings encompass cloud and platform services, applications and analytics, security, and workplace and mobility solutions.