DXC Technology Company. (NYSE:DXC) Receives Consensus Rating of "Reduce" from Analysts

Key Points

• Analysts' view: DXC has an average recommendation of "Reduce" from 11 firms (3 sell, 8 hold) with a 12‑month average price target of $14.625.
• Stock and recent results: DXC opened at $11.92 (12‑month range $11.07–$17.26), has a $2.02B market cap and P/E of 5.11, and last quarter beat EPS estimates ($0.96 vs. $0.83) while revenue was down 1% year‑over‑year.
• Investor positioning: Institutional and hedge fund ownership is very high at 96.20%, and several institutions recently increased their stakes in the company.

DXC Technology Company. (NYSE:DXC - Get Free Report) has been assigned an average recommendation of "Reduce" from the eleven research firms that are covering the firm, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a sell rating and eight have given a hold rating to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $14.6250.

A number of research firms have weighed in on DXC. TD Cowen cut their price objective 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. Wall Street Zen cut shares of DXC Technology from a "buy" rating to a "hold" rating in a report on Saturday, March 28th. Zacks Research cut shares of DXC Technology from a "strong-buy" rating to a "hold" rating in a report on Tuesday, March 3rd. Wolfe Research set a $13.00 target price on shares of DXC Technology and gave the company an "underperform" rating in a report on Friday, January 30th. Finally, BMO Capital Markets lifted their target price on shares of DXC Technology from $15.00 to $17.00 and gave the company a "market perform" rating in a report on Tuesday, February 3rd.

DXC Technology Stock Up 0.3%

DXC stock opened at $11.92 on Monday. The company has a current ratio of 1.35, a quick ratio of 1.35 and a debt-to-equity ratio of 0.91. DXC Technology has a twelve month low of $11.07 and a twelve month high of $17.26. The company's 50 day moving average is $12.27 and its two-hundred day moving average is $13.43. The stock has a market cap of $2.02 billion, a P/E ratio of 5.11 and a beta of 0.85.

DXC Technology (NYSE:DXC - Get Free Report) last released its quarterly earnings data on Thursday, January 29th. The company reported $0.96 earnings per share for the quarter, topping analysts' consensus estimates of $0.83 by $0.13. DXC Technology had a net margin of 3.34% and a return on equity of 17.56%. The company had revenue of $3.19 billion for the quarter, compared to analysts' expectations of $3.18 billion. During the same quarter last year, the company earned $0.92 earnings per share. The firm's revenue for the quarter was down 1.0% on a year-over-year basis. Research analysts expect that DXC Technology will post 3.21 earnings per share for the current fiscal year.

Hedge Funds Weigh In On DXC Technology

A number of institutional investors have recently modified their holdings of DXC. EverSource Wealth Advisors LLC increased its holdings in shares of DXC Technology by 240.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,737 shares of the company's stock valued at $27,000 after acquiring an additional 1,227 shares during the period. Danske Bank A S increased its holdings in shares of DXC Technology by 280.0% in the 4th quarter. Danske Bank A S now owns 1,900 shares of the company's stock valued at $28,000 after acquiring an additional 1,400 shares during the period. Fifth Third Bancorp increased its holdings in shares of DXC Technology by 116.0% in the 4th quarter. Fifth Third Bancorp now owns 2,102 shares of the company's stock valued at $31,000 after acquiring an additional 1,129 shares during the period. Hantz Financial Services Inc. increased its holdings in shares of DXC Technology by 110.5% in the 4th quarter. Hantz Financial Services Inc. now owns 2,185 shares of the company's stock valued at $32,000 after acquiring an additional 1,147 shares during the period. Finally, CIBC Private Wealth Group LLC increased its holdings in shares of DXC Technology by 13,258.8% in the 4th quarter. CIBC Private Wealth Group LLC now owns 2,271 shares of the company's stock valued at $33,000 after acquiring an additional 2,254 shares during the period. 96.20% of the stock is owned by institutional investors and hedge funds.

About DXC Technology

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.

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