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

Shares of DXC Technology Company. (NYSE:DXC) were 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 Ratings Changes

Several equities research analysts have recently issued reports on DXC shares. BMO Capital Markets reduced their target price on DXC Technology from $17.00 to $10.00 and set a “market perform” rating on the stock in a report on Monday, May 11th. Zacks Research cut DXC Technology from a “hold” rating to a “strong sell” rating in a report on Tuesday, May 12th. Morgan Stanley reduced their target price on DXC Technology from $15.00 to $9.00 and set an “equal weight” rating on the stock in a report on Thursday, May 14th. 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 report on Monday, April 6th. Finally, Stifel Nicolaus set a $12.00 target price on DXC Technology in a report on Friday, May 8th. Six investment analysts have rated the stock with a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus target price of $12.75.

DXC Technology Stock Down 7.3%

The company has a fifty day moving average price of $11.20 and a 200-day moving average price of $12.90. The company has a quick ratio of 1.36, a current ratio of 1.36 and a debt-to-equity ratio of 0.94. The stock has a market capitalization of $1.52 billion, a P/E ratio of 154.50 and a beta of 0.81.

DXC Technology (NYSE:DXC) last issued its quarterly earnings data on Thursday, May 7th. The company reported $0.77 earnings per share for the quarter, topping the consensus estimate of $0.70 by $0.07. DXC Technology had a return on equity of 17.24% and a net margin of 0.14%.The company had revenue of $3.13 billion for the quarter, compared to analysts’ expectations of $3.17 billion. During the same period in the previous year, the firm posted $0.84 earnings per share. The firm’s revenue for the quarter was down 1.2% on a year-over-year basis. 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. As a group, research analysts forecast that DXC Technology Company. will post 2.64 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Raul J. Fernandez acquired 28,051 shares of DXC Technology stock in a transaction on Monday, May 11th. The shares were bought at an average cost of $8.90 per share, with a total value of $249,653.90. Following the completion of the purchase, the chief executive officer directly owned 844,052 shares of the company’s stock, valued at $7,512,062.80. The trade was a 3.44% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. 0.61% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. EverSource Wealth Advisors LLC grew its stake in shares of DXC Technology by 240.6% during the second 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 during the last quarter. Danske Bank A S grew its stake in shares of DXC Technology by 280.0% during the fourth quarter. Danske Bank A S now owns 1,900 shares of the company’s stock valued at $28,000 after buying an additional 1,400 shares during the last quarter. Fifth Third Bancorp grew its stake in shares of DXC Technology by 116.0% during the fourth quarter. Fifth Third Bancorp now owns 2,102 shares of the company’s stock valued at $31,000 after buying an additional 1,129 shares during the last quarter. Hantz Financial Services Inc. grew its stake in shares of DXC Technology by 110.5% during the fourth quarter. Hantz Financial Services Inc. now owns 2,185 shares of the company’s stock valued at $32,000 after buying an additional 1,147 shares during the last quarter. Finally, CIBC Private Wealth Group LLC grew its stake in shares of DXC Technology by 13,258.8% during the fourth quarter. CIBC Private Wealth Group LLC now owns 2,271 shares of the company’s stock valued at $33,000 after buying an additional 2,254 shares during the last quarter. Institutional investors own 96.20% of the company’s stock.

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.