DXC Technology (NYSE:DXC) Trading Down 6.7% After Analyst Downgrade

DXC Technology Company. (NYSE:DXC) shares traded down 6.7% during trading on Wednesday after Morgan Stanley lowered their price target on the stock from $15.00 to $9.00. Morgan Stanley currently has an equal weight rating on the stock. DXC Technology traded as low as $8.20 and last traded at $8.30. 592,911 shares changed hands during mid-day trading, a decline of 81% from the average session volume of 3,043,858 shares. The stock had previously closed at $8.90.

A number of other research analysts have also commented on DXC. Wolfe Research set a $13.00 price target on DXC Technology and gave the company an “underperform” rating in a research report on Friday, January 30th. TD Cowen reduced their target price on DXC Technology from $15.00 to $14.00 and set a “hold” rating on the stock in a research note on Monday, April 6th. Zacks Research downgraded DXC Technology from a “hold” rating to a “strong sell” rating in a report on Tuesday. BMO Capital Markets dropped their price target on DXC Technology from $17.00 to $10.00 and set a “market perform” rating for the company in a research note on Monday. Finally, Stifel Nicolaus set a $12.00 price target on shares of DXC Technology in a report on Friday, May 8th. Six equities research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, DXC Technology presently has a consensus rating of “Reduce” and an average target price of $12.75.

Insider Buying and Selling at DXC Technology

In other news, CEO Raul J. Fernandez bought 28,051 shares of the firm’s stock in a transaction dated Monday, May 11th. The stock was purchased at an average price of $8.90 per share, with a total value of $249,653.90. Following the transaction, the chief executive officer owned 844,052 shares of the company’s stock, valued at approximately $7,512,062.80. The trade was a 3.44% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 0.61% of the company’s stock.

Hedge Funds Weigh In On DXC Technology

A number of institutional investors have recently added to or reduced their stakes in DXC. EverSource Wealth Advisors LLC boosted its holdings in shares of DXC Technology by 240.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,737 shares of the company’s stock valued at $27,000 after buying an additional 1,227 shares in the last quarter. Danske Bank A S lifted its position in DXC Technology by 280.0% during the 4th quarter. Danske Bank A S now owns 1,900 shares of the company’s stock valued at $28,000 after acquiring an additional 1,400 shares during the period. Fifth Third Bancorp lifted its position in DXC Technology by 116.0% during the 4th quarter. Fifth Third Bancorp now owns 2,102 shares of the company’s stock valued at $31,000 after acquiring an additional 1,129 shares during the period. Hantz Financial Services Inc. boosted its stake in DXC Technology by 110.5% during the fourth quarter. Hantz Financial Services Inc. now owns 2,185 shares of the company’s stock worth $32,000 after acquiring an additional 1,147 shares in the last quarter. Finally, CIBC Private Wealth Group LLC grew its holdings in DXC Technology by 13,258.8% in the fourth quarter. CIBC Private Wealth Group LLC now owns 2,271 shares of the company’s stock worth $33,000 after purchasing an additional 2,254 shares during the period. Institutional investors own 96.20% of the company’s stock.

DXC Technology Trading Down 0.1%

The stock’s fifty day simple moving average is $11.88 and its two-hundred day simple moving average is $13.25. The firm has a market cap of $1.34 billion, a PE ratio of 136.92 and a beta of 0.85. The company has a quick ratio of 1.35, a current ratio of 1.36 and a debt-to-equity ratio of 0.94.

DXC Technology (NYSE:DXC) last released its earnings results on Thursday, May 7th. The company reported $0.77 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.70 by $0.07. The firm had revenue of $3.13 billion during the quarter, compared to analyst estimates of $3.17 billion. DXC Technology had a net margin of 0.14% and a return on equity of 17.24%. The business’s revenue was down 1.2% on a year-over-year basis. During the same period last year, the business earned $0.84 earnings per share. DXC Technology has set its Q1 2027 guidance at 0.400-0.400 EPS and its FY 2027 guidance at 2.400-2.900 EPS. On average, sell-side analysts forecast that DXC Technology Company. will post 2.74 EPS for the current fiscal year.

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.