Morgan Stanley Cuts DXC Technology (NYSE:DXC) Price Target to $9.00

DXC Technology (NYSE:DXC) had its target price decreased by Morgan Stanley from $15.00 to $9.00 in a research report report published on Thursday morning,Benzinga reports. Morgan Stanley currently has an equal weight rating on the stock.

A number of other analysts have also commented on DXC. 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, May 11th. Wolfe Research set a $13.00 price target on DXC Technology and gave the stock an “underperform” rating in a research note on Friday, January 30th. TD Cowen dropped their price target on DXC Technology from $15.00 to $14.00 and set a “hold” rating for the company in a research note on Monday, April 6th. Weiss Ratings lowered DXC Technology from a “sell (d+)” rating to a “sell (d)” rating in a research note on Monday, May 11th. Finally, Zacks Research lowered DXC Technology from a “hold” rating to a “strong sell” rating in a research note on Tuesday, May 12th. Six research analysts have rated the stock with a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus target price of $12.75.

DXC Technology Stock Up 8.6%

Shares of DXC Technology stock opened at $8.93 on Thursday. The company has a debt-to-equity ratio of 0.94, a quick ratio of 1.35 and a current ratio of 1.36. DXC Technology has a 52-week low of $7.90 and a 52-week high of $16.45. The stock has a market capitalization of $1.46 billion, a price-to-earnings ratio of 148.75 and a beta of 0.85. The company’s 50 day moving average price is $11.81 and its 200-day moving average price is $13.22.

DXC Technology (NYSE:DXC) last issued its earnings results on Thursday, May 7th. The company reported $0.77 earnings per share (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 firm had revenue of $3.13 billion for the quarter, compared to analysts’ expectations of $3.17 billion. During the same quarter last year, the business earned $0.84 earnings per share. The business’s revenue 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. Equities research analysts forecast that DXC Technology will post 2.64 EPS for the current year.

Insider Buying and Selling

In other news, CEO Raul J. Fernandez acquired 28,051 shares of the stock in a transaction on Monday, May 11th. The stock was acquired at an average price of $8.90 per share, with a total value of $249,653.90. Following the completion of the transaction, the chief executive officer owned 844,052 shares of the company’s stock, valued at $7,512,062.80. This represents a 3.44% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 0.61% of the company’s stock.

Hedge Funds Weigh In On DXC Technology

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Waterfront Wealth Inc. raised its position in shares of DXC Technology by 818.6% in the 3rd quarter. Waterfront Wealth Inc. now owns 142,192 shares of the company’s stock worth $1,886,000 after purchasing an additional 126,713 shares during the last quarter. JPMorgan Chase & Co. raised its position in shares of DXC Technology by 28.1% in the 3rd quarter. JPMorgan Chase & Co. now owns 742,963 shares of the company’s stock worth $10,127,000 after purchasing an additional 162,958 shares during the last quarter. Assenagon Asset Management S.A. raised its position in shares of DXC Technology by 2,316.7% in the 4th quarter. Assenagon Asset Management S.A. now owns 1,570,035 shares of the company’s stock worth $23,001,000 after purchasing an additional 1,505,069 shares during the last quarter. Vanguard Group Inc. raised its position in shares of DXC Technology by 3.5% in the 3rd quarter. Vanguard Group Inc. now owns 23,452,271 shares of the company’s stock worth $319,654,000 after purchasing an additional 800,973 shares during the last quarter. Finally, Nierenberg Investment Management Company Inc. raised its position in shares of DXC Technology by 634.5% in the 3rd quarter. Nierenberg Investment Management Company Inc. now owns 99,555 shares of the company’s stock worth $1,357,000 after purchasing an additional 86,000 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.