DXC Technology (NYSE:DXC) Sets New 52-Week Low on Analyst Downgrade

Key Points

• DXC Technology's stock reached a new 52-week low at $12.48 after Morgan Stanley downgraded its price target from $16.00 to $15.00.
• Despite the downgrade, there are mixed ratings from analysts, with one buy rating, five hold ratings, and one sell rating amongst various brokerages.
• Recently, institutional investors have increased their stakes in DXC Technology, with notable increases from firms such as Signaturefd LLC and Quarry LP.

DXC Technology Company. (NYSE:DXC - Get Free Report)'s stock price hit a new 52-week low on Friday after Royal Bank Of Canada lowered their price target on the stock from $18.00 to $16.00. Royal Bank Of Canada currently has a sector perform rating on the stock. DXC Technology traded as low as $12.85 and last traded at $12.48, with a volume of 391484 shares. The stock had previously closed at $13.61.

Other equities analysts have also recently issued reports about the stock. Guggenheim reissued a "neutral" rating on shares of DXC Technology in a research note on Monday, May 12th. BMO Capital Markets cut their price target on shares of DXC Technology from $26.00 to $17.00 and set a "market perform" rating for the company in a report on Thursday, May 15th. Wall Street Zen raised shares of DXC Technology from a "hold" rating to a "buy" rating in a research note on Sunday, July 20th. JPMorgan Chase & Co. lowered their price objective on shares of DXC Technology from $22.00 to $18.00 and set an "underweight" rating on the stock in a research note on Wednesday, May 21st. Finally, Morgan Stanley decreased their price target on shares of DXC Technology from $16.00 to $15.00 and set an "equal weight" rating on the stock in a research note on Friday. One investment analyst has rated the stock with a sell rating, five have given a hold rating and one has issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $16.40.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the business. Sterling Capital Management LLC raised its holdings in DXC Technology by 55.4% in the fourth quarter. Sterling Capital Management LLC now owns 10,748 shares of the company's stock valued at $215,000 after buying an additional 3,833 shares during the period. Principal Financial Group Inc. raised its stake in shares of DXC Technology by 2.4% during the first quarter. Principal Financial Group Inc. now owns 898,356 shares of the company's stock valued at $15,317,000 after purchasing an additional 20,957 shares during the period. Allspring Global Investments Holdings LLC raised its stake in shares of DXC Technology by 323.4% during the first quarter. Allspring Global Investments Holdings LLC now owns 63,772 shares of the company's stock valued at $1,106,000 after purchasing an additional 48,711 shares during the period. Janney Montgomery Scott LLC raised its stake in shares of DXC Technology by 15.1% during the first quarter. Janney Montgomery Scott LLC now owns 20,767 shares of the company's stock valued at $354,000 after purchasing an additional 2,724 shares during the period. Finally, Twelve Points Wealth Management LLC raised its stake in shares of DXC Technology by 22.2% during the first quarter. Twelve Points Wealth Management LLC now owns 101,974 shares of the company's stock valued at $1,739,000 after purchasing an additional 18,507 shares during the period. Hedge funds and other institutional investors own 96.20% of the company's stock.

DXC Technology Price Performance

The company has a market cap of $2.40 billion, a PE ratio of 6.42 and a beta of 1.18. The business's 50 day moving average price is $15.00 and its 200-day moving average price is $16.64. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 0.90.

DXC Technology (NYSE:DXC - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The company reported $0.68 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.64 by $0.04. The business had revenue of $3.16 billion during the quarter, compared to analyst estimates of $3.06 billion. DXC Technology had a net margin of 2.96% and a return on equity of 18.59%. The business's revenue was down 2.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.74 earnings per share. As a group, analysts forecast that DXC Technology Company. will post 3.35 earnings per share for the current year.

DXC Technology Company Profile

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).