Wall Street Zen Downgrades DXC Technology (NYSE:DXC) to Hold

DXC Technology (NYSE:DXC) was downgraded by research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report released on Saturday.

Several other analysts have also recently weighed in on the company. Wolfe Research set a $13.00 price objective on DXC Technology and gave the company an “underperform” rating in a research report on Friday, January 30th. BMO Capital Markets increased their target price on DXC Technology from $15.00 to $17.00 and gave the stock a “market perform” rating in a research report on Tuesday, February 3rd. Finally, Zacks Research cut DXC Technology from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, March 3rd. Seven equities research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat, DXC Technology currently has an average rating of “Reduce” and a consensus price target of $14.71.

DXC Technology Stock Down 3.0%

Shares of NYSE DXC opened at $11.83 on Friday. The firm has a fifty day simple moving average of $13.19 and a two-hundred day simple moving average of $13.67. DXC Technology has a 12 month low of $11.54 and a 12 month high of $17.68. The company has a current ratio of 1.35, a quick ratio of 1.35 and a debt-to-equity ratio of 0.91. The firm has a market capitalization of $2.01 billion, a PE ratio of 5.08 and a beta of 1.10.

DXC Technology (NYSE:DXC) last announced its earnings results on Thursday, January 29th. The company reported $0.96 earnings per share for the quarter, beating 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 firm had revenue of $3.19 billion for the quarter, compared to analyst estimates of $3.18 billion. During the same quarter in the previous year, the firm posted $0.92 EPS. The company’s revenue for the quarter was down 1.0% compared to the same quarter last year. Equities analysts expect that DXC Technology will post 3.35 earnings per share for the current year.

Insider Buying and Selling

In other DXC Technology news, CEO Raul J. Fernandez acquired 16,446 shares of the business’s stock in a transaction on Monday, February 2nd. The shares were acquired at an average price of $15.24 per share, for a total transaction of $250,637.04. Following the completion of the acquisition, the chief executive officer owned 816,001 shares in the company, valued at $12,435,855.24. This trade represents a 2.06% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.61% of the stock is owned by insiders.

Institutional Trading of DXC Technology

Hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. increased its position in DXC Technology by 3.5% during the 3rd quarter. Vanguard Group Inc. now owns 23,452,271 shares of the company’s stock valued at $319,654,000 after buying an additional 800,973 shares in the last quarter. American Century Companies Inc. raised its position in shares of DXC Technology by 8.5% in the 3rd quarter. American Century Companies Inc. now owns 7,591,818 shares of the company’s stock worth $103,476,000 after purchasing an additional 596,475 shares during the last quarter. FIL Ltd boosted its stake in DXC Technology by 0.7% in the 4th quarter. FIL Ltd now owns 6,383,750 shares of the company’s stock worth $93,522,000 after purchasing an additional 45,015 shares in the last quarter. State Street Corp grew its position in DXC Technology by 2.1% during the 2nd quarter. State Street Corp now owns 6,381,982 shares of the company’s stock valued at $97,581,000 after purchasing an additional 128,916 shares during the last quarter. Finally, AQR Capital Management LLC increased its stake in DXC Technology by 6.4% during the 4th quarter. AQR Capital Management LLC now owns 4,750,808 shares of the company’s stock valued at $69,599,000 after purchasing an additional 287,441 shares in the last quarter. 96.20% of the stock is owned by institutional investors.

DXC Technology Company Profile

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.