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

DXC Technology (NYSE:DXC) was upgraded by analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Monday,Zacks.com reports.

Several 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, March 28th. Morgan Stanley lowered their target price 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. BMO Capital Markets dropped their price target on DXC Technology from $17.00 to $10.00 and set a “market perform” rating on the stock in a research report on Monday, May 11th. Stifel Nicolaus set a $12.00 price target on DXC Technology in a research note on Friday, May 8th. Finally, Royal Bank Of Canada reiterated a “sector perform” rating and set a $16.00 price target on shares of DXC Technology in a research note on Friday, June 12th. Seven equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus target price of $12.25.

DXC Technology Price Performance

DXC opened at $9.15 on Monday. DXC Technology has a fifty-two week low of $7.90 and a fifty-two week high of $15.68. The firm has a 50-day moving average of $9.25 and a 200 day moving average of $11.85. The company has a debt-to-equity ratio of 0.94, a quick ratio of 1.36 and a current ratio of 1.36. The firm has a market cap of $1.50 billion, a P/E ratio of 152.58 and a beta of 0.82.

DXC Technology (NYSE:DXC) last announced its quarterly earnings data on Friday, May 8th. The company reported $0.77 EPS for the quarter, topping the consensus estimate of $0.70 by $0.07. DXC Technology had a net margin of 0.14% and a return on equity of 17.24%. The business had revenue of $3.13 billion for the quarter, compared to analyst estimates of $3.17 billion. During the same quarter in the previous year, the firm posted $0.84 earnings per share. The company’s revenue for the quarter was down 1.2% on a year-over-year basis. On average, research analysts expect that DXC Technology will post 2.61 EPS for the current year.

Insider Activity

In related news, CEO Raul J. Fernandez bought 28,051 shares of the company’s stock in a transaction on Monday, May 11th. The shares were purchased at an average price of $8.90 per share, for a total transaction of $249,653.90. Following the completion of the transaction, the chief executive officer directly owned 844,052 shares in the company, valued at approximately $7,512,062.80. The trade was a 3.44% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. 1.13% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On DXC Technology

Hedge funds have recently made changes to their positions in the stock. Dimensional Fund Advisors LP grew its holdings in DXC Technology by 2.6% during the 1st quarter. Dimensional Fund Advisors LP now owns 10,029,966 shares of the company’s stock valued at $126,068,000 after buying an additional 258,819 shares in the last quarter. FIL Ltd lifted its holdings in shares of DXC Technology by 0.7% in the fourth quarter. FIL Ltd now owns 6,383,750 shares of the company’s stock worth $93,522,000 after buying an additional 45,015 shares in the last quarter. State Street Corp boosted its position in shares of DXC Technology by 2.1% in the second quarter. State Street Corp now owns 6,381,982 shares of the company’s stock valued at $97,581,000 after acquiring an additional 128,916 shares during the period. AQR Capital Management LLC grew its stake in DXC Technology by 6.4% during the fourth quarter. AQR Capital Management LLC now owns 4,750,808 shares of the company’s stock valued at $69,599,000 after acquiring an additional 287,441 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. grew its stake in DXC Technology by 4.0% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,547,205 shares of the company’s stock valued at $37,317,000 after acquiring an additional 98,479 shares in the last quarter. 96.20% of the stock is currently owned by hedge funds and other institutional investors.

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.