DXC Technology (NYSE:DXC) Stock Falls 6.3% After Analyst Downgrade

DXC Technology Company. (NYSE:DXC) dropped 6.3% during trading on Tuesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The company traded as low as $13.70 and last traded at $13.8340. Approximately 355,739 shares were traded during mid-day trading, a decline of 91% from the average session volume of 3,849,061 shares. The stock had previously closed at $14.76.

A number of other equities analysts also recently commented on DXC. Royal Bank Of Canada reduced their price objective on shares of DXC Technology from $16.00 to $14.00 and set a “sector perform” rating for the company in a research note on Friday, July 31st. JPMorgan Chase & Co. increased their price target on DXC Technology from $12.00 to $13.00 and gave the company an “underweight” rating in a research note on Friday, October 30th. Stifel Nicolaus dropped their price target on DXC Technology from $12.00 to $10.50 and set a “hold” rating on the stock in a research note on Friday, July 31st. Susquehanna upped their price objective on shares of DXC Technology from $10.00 to $12.00 and gave the company a “neutral” rating in a report on Friday, October 30th. Finally, Weiss Ratings downgraded shares of DXC Technology from a “sell (d+)” rating to a “sell (d)” rating in a report on Monday. Six equities research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average target price of $12.06.

Institutional Trading of DXC Technology

A number of hedge funds and other institutional investors have recently made changes to their positions in DXC. Yousif Capital Management LLC increased its stake in shares of DXC Technology by 2.1% during the third quarter. Yousif Capital Management LLC now owns 57,828 shares of the company’s stock worth $626,000 after purchasing an additional 1,170 shares in the last quarter. Versant Capital Management Inc raised its holdings in shares of DXC Technology by 16.2% during the 3rd quarter. Versant Capital Management Inc now owns 8,682 shares of the company’s stock worth $94,000 after acquiring an additional 1,208 shares during the period. Cidel Asset Management Inc. boosted its position in shares of DXC Technology by 9.1% during the 3rd quarter. Cidel Asset Management Inc. now owns 15,516 shares of the company’s stock valued at $168,000 after acquiring an additional 1,299 shares during the last quarter. Bessemer Group Inc. grew its holdings in shares of DXC Technology by 61.1% in the first quarter. Bessemer Group Inc. now owns 3,680 shares of the company’s stock valued at $47,000 after purchasing an additional 1,395 shares during the period. Finally, Covestor Ltd grew its holdings in shares of DXC Technology by 31.2% in the second quarter. Covestor Ltd now owns 6,603 shares of the company’s stock valued at $58,000 after purchasing an additional 1,570 shares during the period. Institutional investors and hedge funds own 96.20% of the company’s stock.

DXC Technology Price Performance

The stock’s fifty day moving average price is $12.51 and its 200-day moving average price is $11.59. The firm has a market cap of $2.36 billion, a price-to-earnings ratio of 23.37 and a beta of 0.76. The company has a current ratio of 1.15, a quick ratio of 1.41 and a debt-to-equity ratio of 0.64.

DXC Technology (NYSE:DXC) last issued its quarterly earnings data on Thursday, October 29th. The company reported $0.67 EPS for the quarter, topping the consensus estimate of $0.55 by $0.12. DXC Technology had a net margin of 0.91% and a return on equity of 14.35%. The firm had revenue of $3.03 billion for the quarter, compared to analyst estimates of $2.98 billion. During the same period in the prior year, the business posted $0.84 EPS. The business’s revenue for the quarter was down 4.1% compared to the same quarter last year. As a group, equities research analysts forecast that DXC Technology Company. will post 2.36 earnings per share for the current fiscal year.

About DXC Technology

DXC Technology (NYSE: DXC) is a global information technology services and solutions company that helps organizations modernize and manage their technology environments. Its services include consulting, application development and management, cloud migration and operations, cybersecurity, data and analytics, enterprise technology management, and workplace and end-user services.

The company serves businesses and government organizations across a range of industries, including financial services, healthcare, insurance, manufacturing, aerospace and defense, automotive, retail, and the public sector.