DXC Technology (NYSE:DXC) Shares Down 7.7% – Here’s Why

DXC Technology Company. (NYSE:DXC)’s stock price was down 7.7% during mid-day trading on Wednesday . The stock traded as low as $9.22 and last traded at $9.23. Approximately 606,205 shares changed hands during mid-day trading, a decline of 82% from the average daily volume of 3,388,359 shares. The stock had previously closed at $10.00.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on DXC shares. Weiss Ratings cut DXC Technology from a “sell (d+)” rating to a “sell (d)” rating in a research note on Monday, May 11th. TD Cowen dropped their price objective 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. Wall Street Zen cut DXC Technology from a “buy” rating to a “hold” rating in a research note on Saturday, March 28th. Stifel Nicolaus set a $12.00 price objective on DXC Technology in a research note on Friday, May 8th. Finally, Morgan Stanley dropped their price objective on DXC Technology from $15.00 to $9.00 and set an “equal weight” rating on the stock in a research note on Thursday, May 14th. Six equities research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Reduce” and an average price target of $12.75.

DXC Technology Stock Performance

The business has a fifty day simple moving average of $11.20 and a two-hundred day simple moving average of $12.90. The company has a debt-to-equity ratio of 0.94, a current ratio of 1.36 and a quick ratio of 1.36. The company has a market cap of $1.52 billion, a PE ratio of 154.50 and a beta of 0.81.

DXC Technology (NYSE:DXC) last posted its earnings results on Thursday, May 7th. The company reported $0.77 earnings per share for the quarter, topping analysts’ consensus estimates of $0.70 by $0.07. The company had revenue of $3.13 billion during the quarter, compared to analyst estimates of $3.17 billion. DXC Technology had a return on equity of 17.24% and a net margin of 0.14%.DXC Technology’s revenue was down 1.2% on a year-over-year basis. During the same quarter in the prior 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. Research analysts anticipate that DXC Technology Company. will post 2.64 earnings per share for the current year.

Insiders Place Their Bets

In related news, CEO Raul J. Fernandez bought 28,051 shares of the stock in a transaction on Monday, May 11th. The stock was bought at an average price of $8.90 per share, for a total transaction of $249,653.90. Following the completion of the acquisition, the chief executive officer directly owned 844,052 shares in the company, valued at approximately $7,512,062.80. This represents a 3.44% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 0.61% of the stock is currently owned by corporate insiders.

Institutional Trading of DXC Technology

A number of hedge funds have recently bought and sold shares of the stock. Royal Bank of Canada lifted its holdings in shares of DXC Technology by 156.3% during the 1st 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 last quarter. Goldman Sachs Group Inc. lifted its holdings in shares of DXC Technology by 4.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,239,558 shares of the company’s stock valued at $21,134,000 after purchasing an additional 49,228 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in shares of DXC Technology by 4.9% during 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 purchasing an additional 34,544 shares during the last quarter. Creative Planning lifted its holdings in shares of DXC Technology by 83.9% during the 2nd quarter. Creative Planning now owns 21,863 shares of the company’s stock valued at $334,000 after purchasing an additional 9,972 shares during the last quarter. Finally, EverSource Wealth Advisors LLC lifted 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 purchasing an additional 1,227 shares during the last quarter. Hedge funds and other institutional investors own 96.20% of the company’s stock.

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.