Morgan Stanley Lowers DXC Technology (NYSE:DXC) Price Target to $15.00

Key Points

• Morgan Stanley has lowered its price target for DXC Technology from $16.00 to $15.00 while maintaining an "equal weight" rating, indicating a potential upside of 20.39% from the stock's previous close.
• Other analysts, including BMO Capital Markets and JPMorgan Chase & Co., have also reduced their price targets, reflecting a cautious outlook on the stock's performance.
• DXC Technology reported $0.68 earnings per share for the last quarter, surpassing consensus estimates, but experienced a year-over-year revenue decline of 2.4%.

DXC Technology (NYSE:DXC - Get Free Report) had its price objective decreased by analysts at Morgan Stanley from $16.00 to $15.00 in a report released on Friday,Benzinga reports. The brokerage currently has an "equal weight" rating on the stock. Morgan Stanley's price target points to a potential upside of 13.38% from the company's previous close.

A number of other equities research analysts have also commented on DXC. Susquehanna decreased their price objective on shares of DXC Technology from $23.00 to $16.00 and set a "neutral" rating on the stock in a report on Wednesday, April 23rd. BMO Capital Markets cut their price target on shares of DXC Technology from $26.00 to $17.00 and set a "market perform" rating on the stock in a research report on Thursday, May 15th. Wall Street Zen upgraded shares of DXC Technology from a "hold" rating to a "buy" rating in a research report on Sunday, July 20th. Royal Bank Of Canada dropped their target price on shares of DXC Technology from $27.00 to $18.00 and set a "sector perform" rating on the stock in a report on Thursday, May 15th. Finally, JPMorgan Chase & Co. decreased their price target on shares of DXC Technology from $22.00 to $18.00 and set an "underweight" rating for the company in a research note on Wednesday, May 21st. One research analyst has rated the stock with a sell rating, five have assigned a hold rating and one has issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average target price of $16.40.

DXC Technology Stock Performance

Shares of DXC Technology stock traded down $0.11 on Friday, reaching $13.23. The stock had a trading volume of 2,363,383 shares, compared to its average volume of 1,762,370. The stock has a market cap of $2.40 billion, a P/E ratio of 6.42 and a beta of 1.18. DXC Technology has a fifty-two week low of $12.24 and a fifty-two week high of $24.83. The business's 50-day moving average price is $15.00 and its two-hundred day moving average price is $16.64. The company has a debt-to-equity ratio of 0.90, a quick ratio of 1.22 and a current ratio of 1.22.

DXC Technology (NYSE:DXC - Get Free Report) last announced its quarterly earnings data on Thursday, July 31st. The company reported $0.68 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.64 by $0.04. DXC Technology had a net margin of 2.96% and a return on equity of 18.59%. The company had revenue of $3.16 billion during the quarter, compared to analysts' expectations of $3.06 billion. During the same quarter in the prior year, the company posted $0.74 EPS. The business's revenue was down 2.4% on a year-over-year basis. On average, sell-side analysts forecast that DXC Technology will post 3.35 EPS for the current year.

Hedge Funds Weigh In On DXC Technology

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Kovack Advisors Inc. bought a new position in DXC Technology during the second quarter worth about $154,000. Teacher Retirement System of Texas boosted its stake in shares of DXC Technology by 8.8% in the second quarter. Teacher Retirement System of Texas now owns 85,464 shares of the company's stock valued at $1,307,000 after buying an additional 6,927 shares during the period. State of New Jersey Common Pension Fund D boosted its stake in shares of DXC Technology by 23.9% in the second quarter. State of New Jersey Common Pension Fund D now owns 124,156 shares of the company's stock valued at $1,898,000 after buying an additional 23,974 shares during the period. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in shares of DXC Technology in the second quarter valued at approximately $1,912,000. Finally, Allianz Asset Management GmbH boosted its stake in shares of DXC Technology by 18.2% in the second quarter. Allianz Asset Management GmbH now owns 668,978 shares of the company's stock valued at $10,229,000 after buying an additional 103,092 shares during the period. 96.20% of the stock is owned by institutional investors.

About DXC Technology

DXC Technology Company, together with its subsidiaries, provides information technology services and solutions in the United States, the United Kingdom, rest of Europe, Australia, and internationally. It operates in two segments, Global Business Services (GBS) and Global Infrastructure Services (GIS).