DXC Technology (NYSE:DXC) Shares Gap Down – Time to Sell?

DXC Technology Company. (NYSE:DXC)’s stock price gapped down prior to trading on Friday . The stock had previously closed at $14.41, but opened at $12.65. DXC Technology shares last traded at $13.8840, with a volume of 269,461 shares.

More DXC Technology News

Here are the key news stories impacting DXC Technology this week:

• Positive Sentiment: Q3 EPS beat and solid cash flow — DXC reported non‑GAAP EPS of $0.96 (above estimates) and delivered $266M free cash flow in the quarter (YTD $603M); management also repurchased $65M of stock and redeemed $300M of senior notes, which supports shareholder returns and deleveraging. PR Newswire: DXC Reports Q3 FY2026 Results
• Positive Sentiment: Bookings and book-to-bill look healthy — bookings were $3.6B with a book-to-bill of 1.12x, indicating demand for services that could support revenue recovery going forward; company reiterated FY revenue around $12.7B and issued FY EPS guidance roughly in line with Street. MarketBeat: DXC Earnings and Materials
• Positive Sentiment: Longer-term AI strategy — DXC is targeting ~10% run‑rate revenue from AI Fast Track initiatives by Q2 2029 as part of a dual‑track growth strategy, which investors may view as incremental upside if execution scales. MSN: DXC Targets 10% AI Run Rate by Q2 2029
• Neutral Sentiment: Full earnings materials and call transcripts available — the slide deck and call transcript give more detail on segment trends, margin drivers and client wins; useful for investors doing deeper diligence. Yahoo Finance: DXC Q3 2026 Earnings Transcript
• Negative Sentiment: Revenue weakness and organic decline — total revenue was $3.19B (down 1.0% YoY, down ~4.3% on an organic basis). Even with an EPS beat, the top‑line decline and mixed revenue metrics prompted investor concern and share weakness. PR Newswire: DXC Q3 Results
• Negative Sentiment: Softer short‑term guidance — DXC set Q4 EPS guidance of $0.65–$0.75, below consensus (~$0.79), which amplified the negative reaction despite the quarterly EPS beat; near‑term guidance and revenue trends are the primary catalysts driving downward pressure. Zacks: Earnings Beat But Shares Fall on Revenue Miss

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on DXC shares. Stifel Nicolaus lowered their price target on shares of DXC Technology from $15.00 to $14.00 and set a “hold” rating on the stock in a research note on Friday, October 31st. Weiss Ratings restated a “sell (d)” rating on shares of DXC Technology in a research report on Wednesday, October 8th. Wall Street Zen downgraded shares of DXC Technology from a “buy” rating to a “hold” rating in a research report on Saturday. Susquehanna set a $14.00 price target on DXC Technology and gave the stock a “neutral” rating in a research note on Friday, October 31st. Finally, Wolfe Research set a $13.00 price objective on DXC Technology and gave the company an “underperform” rating in a research note on Friday. Six research analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Reduce” and a consensus target price of $14.71.

DXC Technology Stock Up 0.1%

The company has a debt-to-equity ratio of 0.71, a current ratio of 1.09 and a quick ratio of 1.09. The firm’s 50-day moving average price is $14.60 and its 200 day moving average price is $14.01. The firm has a market capitalization of $2.51 billion, a price-to-earnings ratio of 6.19 and a beta of 1.04.

DXC Technology (NYSE:DXC) last issued its quarterly earnings data on Thursday, January 29th. The company reported $0.96 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.83 by $0.13. The firm had revenue of $3.19 billion during the quarter, compared to the consensus estimate of $3.18 billion. DXC Technology had a return on equity of 17.55% and a net margin of 3.34%.The company’s quarterly revenue was down 1.0% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.92 EPS. Sell-side analysts expect that DXC Technology Company. will post 3.35 EPS for the current year.

Insider Activity at DXC Technology

In related news, SVP Christopher Anthony Voci sold 2,500 shares of DXC Technology stock in a transaction dated Thursday, December 11th. The stock was sold at an average price of $15.15, for a total transaction of $37,875.00. Following the completion of the sale, the senior vice president owned 88,605 shares in the company, valued at approximately $1,342,365.75. This trade represents a 2.74% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.61% of the stock is currently owned by insiders.

Hedge Funds Weigh In On DXC Technology

Institutional investors have recently added to or reduced their stakes in the business. EverSource Wealth Advisors LLC boosted its stake in DXC Technology by 240.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,737 shares of the company’s stock worth $27,000 after buying an additional 1,227 shares during the last quarter. Headlands Technologies LLC purchased a new position in shares of DXC Technology during the 2nd quarter worth about $39,000. Smartleaf Asset Management LLC boosted its position in shares of DXC Technology by 38.2% in the third quarter. Smartleaf Asset Management LLC now owns 2,814 shares of the company’s stock worth $38,000 after acquiring an additional 778 shares during the last quarter. Signaturefd LLC grew its holdings in DXC Technology by 867.1% in the fourth quarter. Signaturefd LLC now owns 2,824 shares of the company’s stock valued at $41,000 after purchasing an additional 2,532 shares during the period. Finally, Rothschild Investment LLC grew its holdings in DXC Technology by 609.8% in the third quarter. Rothschild Investment LLC now owns 2,981 shares of the company’s stock valued at $41,000 after purchasing an additional 2,561 shares during the period. 96.20% of the stock is currently 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.