DXC Technology (NYSE:DXC) Cut to “Hold” at Zacks Research

Zacks Research lowered shares of DXC Technology (NYSE:DXC) from a strong-buy rating to a hold rating in a report issued on Tuesday,Zacks.com reports.

A number of other research firms also recently commented on DXC. Wall Street Zen downgraded DXC Technology from a “buy” rating to a “hold” rating in a research note on Saturday, January 31st. Wolfe Research set a $13.00 target price on DXC Technology and gave the stock an “underperform” rating in a research report on Friday, January 30th. Finally, BMO Capital Markets upped their price target on DXC Technology from $15.00 to $17.00 and gave the company a “market perform” rating in a research report on Tuesday, February 3rd. Seven research analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Reduce” and an average target price of $14.71.

DXC Technology Stock Performance

Shares of DXC opened at $13.22 on Tuesday. The firm has a market cap of $2.24 billion, a price-to-earnings ratio of 5.67 and a beta of 1.10. The company has a quick ratio of 1.35, a current ratio of 1.35 and a debt-to-equity ratio of 0.91. The business’s 50 day moving average is $14.08 and its two-hundred day moving average is $13.92. DXC Technology has a 52-week low of $11.61 and a 52-week high of $18.90.

DXC Technology (NYSE:DXC) last issued its quarterly earnings results on Thursday, January 29th. The company reported $0.96 earnings per share (EPS) for the quarter, topping 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 business had revenue of $3.19 billion during the quarter, compared to analyst estimates of $3.18 billion. During the same quarter in the previous year, the firm earned $0.92 earnings per share. The business’s revenue was down 1.0% compared to the same quarter last year. Analysts forecast that DXC Technology will post 3.35 EPS for the current fiscal year.

Insider Activity at DXC Technology

In related news, CEO Raul J. Fernandez acquired 16,446 shares of DXC Technology stock in a transaction that occurred on Monday, February 2nd. The stock was acquired at an average price of $15.24 per share, for a total transaction of $250,637.04. Following the transaction, the chief executive officer directly owned 816,001 shares of the company’s stock, valued at $12,435,855.24. This trade represents a 2.06% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, SVP Christopher Anthony Voci sold 2,500 shares of the firm’s stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $15.15, for a total value of $37,875.00. Following the completion of the sale, the senior vice president owned 88,605 shares in the company, valued at $1,342,365.75. The trade was a 2.74% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.61% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Royal Bank of Canada increased its stake in shares of DXC Technology by 156.3% in the first quarter. Royal Bank of Canada now owns 99,930 shares of the company’s stock valued at $1,703,000 after purchasing an additional 60,935 shares during the period. Goldman Sachs Group Inc. increased its position in DXC Technology by 4.1% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,239,558 shares of the company’s stock valued at $21,134,000 after acquiring an additional 49,228 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in DXC Technology by 4.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 735,597 shares of the company’s stock valued at $12,542,000 after acquiring an additional 34,544 shares during the period. Teacher Retirement System of Texas raised its stake in DXC Technology by 8.8% during the 2nd quarter. Teacher Retirement System of Texas now owns 85,464 shares of the company’s stock valued at $1,307,000 after acquiring an additional 6,927 shares in the last quarter. Finally, Brooktree Capital Management boosted its position in DXC Technology by 2.8% during the 2nd quarter. Brooktree Capital Management now owns 99,954 shares of the company’s stock worth $1,528,000 after acquiring an additional 2,683 shares during the period. 96.20% of the stock is owned by institutional investors and hedge funds.

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.