Zacks Investment Research upgraded shares of DXC Technology (NYSE:DXC) from a hold rating to a buy rating in a research report report published on Tuesday morning. Zacks Investment Research currently has $64.00 price objective on the stock.
According to Zacks, “DXC Technology is benefiting from strength in the Digital business. Its impending acquisition of Luxoft is expected to boost the digital solutions business further. Moreover, growing demand for multi-cloud solutions is driving its cloud business. The company’s traction in the cloud and partnerships with HCL, AT&T, VMware and Microsoft are expected to drive growth. DXC Technology is also focusing on acquisitions to expedite growth. Cost-saving initiatives like the Bionix program are boosting the bottom-line. However, delay in the ramp-up of a few large digital contracts is a concern. Shares have underperformed the industry in the past one year.”
Other equities analysts also recently issued reports about the company. Moffett Nathanson assumed coverage on DXC Technology in a research note on Thursday, October 4th. They issued a buy rating and a $95.00 price target on the stock. ValuEngine downgraded DXC Technology from a hold rating to a sell rating in a research note on Wednesday, October 24th. BMO Capital Markets restated a buy rating on shares of DXC Technology in a research note on Wednesday, October 24th. Cantor Fitzgerald restated a hold rating and issued a $70.00 price target on shares of DXC Technology in a research note on Wednesday, November 7th. Finally, Berenberg Bank dropped their price target on DXC Technology to $80.00 and set a hold rating on the stock in a research note on Friday, November 9th. One analyst has rated the stock with a sell rating, four have given a hold rating, ten have assigned a buy rating and one has issued a strong buy rating to the company. The stock currently has a consensus rating of Buy and a consensus price target of $92.31.
DXC traded down $0.15 during trading on Tuesday, hitting $60.48. 907,376 shares of the company’s stock traded hands, compared to its average volume of 2,836,603. The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.46. DXC Technology has a 12-month low of $49.19 and a 12-month high of $107.85. The company has a market cap of $16.58 billion, a price-to-earnings ratio of 7.62, a P/E/G ratio of 1.45 and a beta of 1.35.
DXC Technology (NYSE:DXC) last issued its earnings results on Tuesday, November 6th. The company reported $2.02 EPS for the quarter, beating the consensus estimate of $1.96 by $0.06. DXC Technology had a return on equity of 19.07% and a net margin of 8.15%. The business had revenue of $5.01 billion for the quarter, compared to the consensus estimate of $5.30 billion. During the same period last year, the business posted $1.93 EPS. The company’s revenue was down 8.1% compared to the same quarter last year. As a group, research analysts forecast that DXC Technology will post 8.16 EPS for the current year.
The business also recently announced a quarterly dividend, which will be paid on Tuesday, January 15th. Investors of record on Wednesday, December 5th will be issued a $0.19 dividend. The ex-dividend date is Tuesday, December 4th. This represents a $0.76 dividend on an annualized basis and a yield of 1.26%. DXC Technology’s dividend payout ratio is currently 9.57%.
A number of institutional investors have recently made changes to their positions in DXC. Vanguard Group Inc. raised its holdings in DXC Technology by 0.6% during the third quarter. Vanguard Group Inc. now owns 20,616,012 shares of the company’s stock valued at $1,928,010,000 after acquiring an additional 122,686 shares during the period. Vanguard Group Inc raised its holdings in DXC Technology by 0.6% during the third quarter. Vanguard Group Inc now owns 20,616,012 shares of the company’s stock valued at $1,928,010,000 after acquiring an additional 122,686 shares during the period. FMR LLC raised its holdings in DXC Technology by 7.1% during the second quarter. FMR LLC now owns 4,819,523 shares of the company’s stock valued at $388,502,000 after acquiring an additional 319,168 shares during the period. Bank of New York Mellon Corp raised its holdings in DXC Technology by 19.4% during the third quarter. Bank of New York Mellon Corp now owns 4,091,598 shares of the company’s stock valued at $382,647,000 after acquiring an additional 663,791 shares during the period. Finally, AQR Capital Management LLC raised its holdings in DXC Technology by 23.0% during the third quarter. AQR Capital Management LLC now owns 4,079,314 shares of the company’s stock valued at $381,498,000 after acquiring an additional 763,407 shares during the period. 85.34% of the stock is currently owned by institutional investors.
DXC Technology Company Profile
DXC Technology Company, together with its subsidiaries, provides information technology services and solutions primarily in North America, Europe, Asia, and Australia. It operates through three segments: Global Business Services (GBS), Global Infrastructure Services (GIS), and United States Public Sector (USPS).
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