DXC Technology (NYSE:DXC) Shares Climb 5% - Time to Buy?

Key Points

• DXC Technology shares rose 5% to about $13.16, outperforming their 50-day and 200-day moving averages, though trading volume was 52% below average.
• Analyst sentiment remains cautious: seven analysts rate the stock Hold and two rate it Sell, producing an average rating of “Reduce” and a consensus price target of $12.21.
• Recent results showed $0.40 in quarterly EPS, slightly below expectations, while revenue reached $3 billion but declined 5% year over year; institutional investors own a substantial 96.2% of outstanding shares.

DXC Technology Company. (NYSE:DXC - Get Free Report)'s share price was up 5% during mid-day trading on Tuesday. The stock traded as high as $13.18 and last traded at $13.1630. Approximately 1,780,698 shares were traded during trading, a decline of 52% from the average session volume of 3,725,121 shares. The stock had previously closed at $12.54.

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. Zacks Research upgraded shares of DXC Technology from a "strong sell" rating to a "hold" rating in a report on Monday, July 13th. Stifel Nicolaus dropped their price objective on shares of DXC Technology from $12.00 to $10.50 and set a "hold" rating on the stock in a research note on Friday, July 31st. Royal Bank Of Canada dropped their target price on shares of DXC Technology from $16.00 to $14.00 and set a "sector perform" rating on the stock in a research report on Friday, July 31st. TD Cowen raised their price target on shares of DXC Technology from $10.00 to $12.00 and gave the company a "hold" rating in a report on Monday, August 3rd. Finally, Weiss Ratings raised shares of DXC Technology from a "sell (d)" rating to a "sell (d+)" rating in a research report on Tuesday, October 6th. Seven analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, DXC Technology currently has an average rating of "Reduce" and a consensus target price of $12.21.

DXC Technology Stock Up 3.6%

The company has a fifty day moving average price of $11.18 and a 200 day moving average price of $10.62. The company has a debt-to-equity ratio of 0.90, a current ratio of 1.41 and a quick ratio of 1.41. The company has a market cap of $2.08 billion, a PE ratio of 18.55 and a beta of 0.79.

DXC Technology (NYSE:DXC - Get Free Report) last announced its earnings results on Thursday, July 30th. The company reported $0.40 EPS for the quarter, missing analysts' consensus estimates of $0.41 by ($0.01). The business had revenue of $3 billion for the quarter, compared to analysts' expectations of $2.99 billion. DXC Technology had a net margin of 0.99% and a return on equity of 15.60%. The firm's quarterly revenue was down 5.0% on a year-over-year basis. During the same period in the prior year, the company posted $0.68 earnings per share. DXC Technology has set its Q2 2027 guidance at 0.550-0.550 EPS. As a group, analysts anticipate that DXC Technology Company. will post 2.61 EPS for the current year.

Institutional Trading of DXC Technology

Institutional investors and hedge funds have recently made changes to their positions in the stock. Farther Finance Advisors LLC boosted its stake in DXC Technology by 289.0% during the 3rd quarter. Farther Finance Advisors LLC now owns 4,396 shares of the company's stock valued at $48,000 after purchasing an additional 3,266 shares during the period. Versant Capital Management Inc boosted its holdings in DXC Technology by 16.2% in the 3rd quarter. Versant Capital Management Inc now owns 8,682 shares of the company's stock valued at $94,000 after purchasing an additional 1,208 shares during the period. Envestnet Asset Management Inc. lifted its stake in DXC Technology by 99.1% during the second quarter. Envestnet Asset Management Inc. now owns 69,742 shares of the company's stock worth $617,000 after purchasing an additional 34,722 shares during the last quarter. State Street Corp lifted its stake in shares of DXC Technology by 25.0% in the 2nd quarter. State Street Corp now owns 7,683,280 shares of the company's stock valued at $67,997,000 after acquiring an additional 1,536,243 shares during the last quarter. Finally, The Manufacturers Life Insurance Company boosted its stake in shares of DXC Technology by 137.3% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 81,726 shares of the company's stock valued at $723,000 after purchasing an additional 47,284 shares during the last quarter. 96.20% of the stock is currently owned by institutional investors and hedge funds.

About DXC Technology

DXC Technology NYSE: DXC is a global information technology services company that helps businesses and government organizations modernize and manage their technology environments. Its services include IT consulting, systems integration, cloud computing, cybersecurity, data and analytics, application development and management, and workplace and infrastructure services.

The company supports clients in moving workloads to public, private and hybrid cloud environments, improving digital customer experiences, automating business processes and managing complex technology operations.

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