DXC Technology (NYSE:DXC) Stock Gets Downgrade from Zacks Research

Key Points

• Zacks Research downgraded DXC Technology from “hold” to “strong sell.” Analyst views remain cautious overall: MarketBeat reports six Hold and four Sell ratings, with a consensus “Reduce” rating and a $12.06 price target.
• DXC reported quarterly EPS of $0.67, beating the $0.55 consensus, and revenue of $3.03 billion, above expectations. However, revenue fell 4.1% year over year.
• DXC shares were reported down 6.3%, opening Monday at $13.84.

DXC Technology (NYSE:DXC - Get Free Report) was downgraded by stock analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a report released on Monday, Zacks reports.

Other equities analysts have also recently issued research reports about the company. TD Cowen raised their price target on DXC Technology from $10.00 to $12.00 and gave the company a "hold" rating in a report on Monday, August 3rd. Susquehanna lifted their price objective on DXC Technology from $10.00 to $12.00 and gave the stock a "neutral" rating in a research note on Friday, October 30th. Weiss Ratings cut DXC Technology from a "sell (d+)" rating to a "sell (d)" rating in a report on Monday. Morgan Stanley increased their target price on DXC Technology from $9.00 to $12.00 and gave the company an "equal weight" rating in a research report on Monday. Finally, Stifel Nicolaus cut their target price on shares of DXC Technology from $12.00 to $10.50 and set a "hold" rating for the company in a report on Friday, July 31st. Six equities research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat.com, DXC Technology currently has an average rating of "Reduce" and a consensus price target of $12.06.

DXC Technology Trading Down 6.3%

Shares of DXC stock opened at $13.84 on Monday. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.15 and a quick ratio of 1.41. The company has a market cap of $2.15 billion, a price-to-earnings ratio of 21.28 and a beta of 0.76. DXC Technology has a 1 year low of $7.90 and a 1 year high of $16.38. The firm has a fifty day moving average price of $12.43 and a 200-day moving average price of $11.58.

DXC Technology (NYSE:DXC - Get Free Report) last released its earnings results on Thursday, October 29th. The company reported $0.67 EPS for the quarter, topping analysts' consensus estimates of $0.55 by $0.12. The company had revenue of $3.03 billion for the quarter, compared to analysts' expectations of $2.98 billion. DXC Technology had a net margin of 0.91% and a return on equity of 14.35%. The firm's revenue was down 4.1% compared to the same quarter last year. During the same quarter last year, the business earned $0.84 EPS. As a group, equities analysts predict that DXC Technology will post 2.37 earnings per share for the current year.

Institutional Trading of DXC Technology

Hedge funds and other institutional investors have recently bought and sold shares of the business. Bessemer Group Inc. lifted its holdings in shares of DXC Technology by 61.1% in the 1st quarter. Bessemer Group Inc. now owns 3,680 shares of the company's stock worth $47,000 after buying an additional 1,395 shares during the period. Farther Finance Advisors LLC raised its holdings in shares of DXC Technology by 289.0% in the third quarter. Farther Finance Advisors LLC now owns 4,396 shares of the company's stock valued at $48,000 after acquiring an additional 3,266 shares in the last quarter. Covestor Ltd raised its holdings in shares of DXC Technology by 31.2% in the second quarter. Covestor Ltd now owns 6,603 shares of the company's stock valued at $58,000 after acquiring an additional 1,570 shares in the last quarter. Versant Capital Management Inc raised its holdings in shares of DXC Technology by 47.4% in the second quarter. Versant Capital Management Inc now owns 7,474 shares of the company's stock valued at $66,000 after acquiring an additional 2,404 shares in the last quarter. Finally, Two Sigma Securities LLC purchased a new stake in DXC Technology in the second quarter worth about $94,000. Hedge funds and other institutional investors own 96.20% of the company's stock.

DXC Technology Company Profile

DXC Technology NYSE: DXC is a global information technology services and solutions company that helps organizations modernize and manage their technology environments. Its services include consulting, application development and management, cloud migration and operations, cybersecurity, data and analytics, enterprise technology management, and workplace and end-user services.

The company serves businesses and government organizations across a range of industries, including financial services, healthcare, insurance, manufacturing, aerospace and defense, automotive, retail, and the public sector.

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