Is DXC Technology Stock a Good Investment?
DXC Technology Investment Advice | DXC |
- Examine DXC Technology's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research DXC Technology's leadership team and their track record. Good management can help DXC Technology navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the IT Consulting & Other Services space and any emerging trends that could impact DXC Technology's business and its evolving consumer preferences.
- Compare DXC Technology's performance and market position to its competitors. Analyze how DXC Technology is positioned in terms of product offerings, innovation, and market share.
- Check if DXC Technology pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about DXC Technology's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in DXC Technology Co stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if DXC Technology Co is a good investment.
Sell | Buy |
Hold
Market Performance | Modest | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine DXC Technology Stock
Researching DXC Technology's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 97.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.36. Some equities with similar Price to Book (P/B) outperform the market in the long run. DXC Technology has Price/Earnings To Growth (PEG) ratio of 0.28. The entity last dividend was issued on the 24th of March 2020. The firm had 1156:1000 split on the 1st of June 2018.
To determine if DXC Technology is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding DXC Technology's research are outlined below:
| DXC Technology has a strong financial position based on the latest SEC filings | |
| Over 97.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from finance.yahoo.com: Castle Hall Announces Next Generation DiligenceExchange Verification Reports With Early Access Program for Global Alts 2025 |
DXC Technology Quarterly Good Will |
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DXC Technology uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in DXC Technology Co. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to DXC Technology's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 1st of February 2024 Upcoming Quarterly Report | View | |
| 16th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 16th of May 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of March 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact DXC Technology's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises DXC Technology's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2016-08-08 | 2016-06-30 | 0.45 | 0.53 | 0.08 | 17 | ||
2020-08-06 | 2020-06-30 | 0.12 | 0.21 | 0.09 | 75 | ||
2024-02-01 | 2023-12-31 | 0.77 | 0.87 | 0.1 | 12 | ||
2021-08-04 | 2021-06-30 | 0.74 | 0.84 | 0.1 | 13 | ||
2013-10-30 | 2013-09-30 | 0.83 | 0.93 | 0.1 | 12 | ||
2017-02-02 | 2016-12-31 | 0.7 | 0.81 | 0.11 | 15 | ||
2008-02-04 | 2007-12-31 | 1 | 1.11 | 0.11 | 11 | ||
2023-02-01 | 2022-12-31 | 0.83 | 0.95 | 0.12 | 14 |
Know DXC Technology's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as DXC Technology is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading DXC Technology Co backward and forwards among themselves. DXC Technology's institutional investor refers to the entity that pools money to purchase DXC Technology's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Geode Capital Management, Llc | 2024-09-30 | 3 M | Ameriprise Financial Inc | 2024-06-30 | 2.7 M | Cooper Creek Partners Management Llc | 2024-09-30 | 2.2 M | Aqr Capital Management Llc | 2024-06-30 | 2.1 M | Charles Schwab Investment Management Inc | 2024-09-30 | 1.9 M | Bank Of New York Mellon Corp | 2024-06-30 | 1.7 M | Acadian Asset Management Llc | 2024-06-30 | 1.5 M | Northern Trust Corp | 2024-09-30 | 1.4 M | First Trust Advisors L.p. | 2024-06-30 | 1.1 M | Blackrock Inc | 2024-06-30 | 24.2 M | Vanguard Group Inc | 2024-09-30 | 23.4 M |
DXC Technology's market capitalization trends
The company currently falls under 'Mid-Cap' category with a total capitalization of 4.05 B.Market Cap |
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DXC Technology's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.01 | 0.01 | |
| Return On Capital Employed | 0.05 | 0.05 | |
| Return On Assets | 0.01 | 0.01 | |
| Return On Equity | 0.03 | 0.03 |
Determining DXC Technology's profitability involves analyzing its financial statements and using various financial metrics to determine if DXC Technology is a good buy. For example, gross profit margin measures DXC Technology's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of DXC Technology's profitability and make more informed investment decisions.
DXC Technology's Earnings Breakdown by Geography
Please note, the presentation of DXC Technology's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, DXC Technology's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of DXC Technology's management manipulating its earnings.
Evaluate DXC Technology's management efficiency
DXC Technology has Return on Asset of 0.0103 % which means that on every $100 spent on assets, it made $0.0103 of profit. This is way below average. DXC Technology's management efficiency ratios could be used to measure how well DXC Technology manages its routine affairs as well as how well it operates its assets and liabilities. The current year's Return On Equity is expected to grow to 0.03, whereas Return On Tangible Assets are forecasted to decline to 0.01. At present, DXC Technology's Net Tangible Assets are projected to decrease significantly based on the last few years of reporting. The current year's Fixed Asset Turnover is expected to grow to 7.72, whereas Total Assets are forecasted to decline to about 11.2 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 15.66 | 16.08 | |
| Tangible Book Value Per Share | 2.06 | 1.96 | |
| Enterprise Value Over EBITDA | 4.29 | 3.72 | |
| Price Book Value Ratio | 1.46 | 1.02 | |
| Enterprise Value Multiple | 4.29 | 3.72 | |
| Price Fair Value | 1.46 | 1.02 | |
| Enterprise Value | 8.7 B | 9.2 B |
The management strategies employed by DXC Technology's are designed to enhance shareholder value and ensure long-term growth. We assess the effectiveness of these strategies in our stock analysis.
Beta 1.686 |
Basic technical analysis of DXC Stock
As of the 30th of November, DXC Technology owns the Market Risk Adjusted Performance of 0.1217, downside deviation of 2.25, and Coefficient Of Variation of 1712.33. DXC Technology Co technical analysis allows you to utilize past data patterns in order to determine a pattern that computes the direction of the firm's future prices.DXC Technology's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific DXC Technology insiders, such as employees or executives, is commonly permitted as long as it does not rely on DXC Technology's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases DXC Technology insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
DXC Technology's Outstanding Corporate Bonds
DXC Technology issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. DXC Technology uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most DXC bonds can be classified according to their maturity, which is the date when DXC Technology Co has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| Volcan Compania Minera Corp BondUSP98047AC08 | View | |
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| DXC 18 15 SEP 26 Corp BondUS23355LAL09 | View | |
| DXC 2375 15 SEP 28 Corp BondUS23355LAM81 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand DXC Technology's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing DXC Technology's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0514 | |||
| Market Risk Adjusted Performance | 0.1217 | |||
| Mean Deviation | 1.77 | |||
| Semi Deviation | 2.14 | |||
| Downside Deviation | 2.25 | |||
| Coefficient Of Variation | 1712.33 | |||
| Standard Deviation | 2.37 | |||
| Variance | 5.64 | |||
| Information Ratio | 5.0E-4 | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.27) | |||
| Sortino Ratio | 5.0E-4 | |||
| Treynor Ratio | 0.1117 | |||
| Maximum Drawdown | 10.75 | |||
| Value At Risk | (4.01) | |||
| Potential Upside | 3.21 | |||
| Downside Variance | 5.04 | |||
| Semi Variance | 4.58 | |||
| Expected Short fall | (1.85) | |||
| Skewness | 0.4253 | |||
| Kurtosis | 1.32 |
| Risk Adjusted Performance | 0.0514 | |||
| Market Risk Adjusted Performance | 0.1217 | |||
| Mean Deviation | 1.77 | |||
| Semi Deviation | 2.14 | |||
| Downside Deviation | 2.25 | |||
| Coefficient Of Variation | 1712.33 | |||
| Standard Deviation | 2.37 | |||
| Variance | 5.64 | |||
| Information Ratio | 5.0E-4 | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.27) | |||
| Sortino Ratio | 5.0E-4 | |||
| Treynor Ratio | 0.1117 | |||
| Maximum Drawdown | 10.75 | |||
| Value At Risk | (4.01) | |||
| Potential Upside | 3.21 | |||
| Downside Variance | 5.04 | |||
| Semi Variance | 4.58 | |||
| Expected Short fall | (1.85) | |||
| Skewness | 0.4253 | |||
| Kurtosis | 1.32 |
Consider DXC Technology's intraday indicators
DXC Technology intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of DXC Technology stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
DXC Technology Corporate Filings
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
10Q | 8th of November 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
13A | 7th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
8K | 6th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
DXC Stock media impact
Far too much social signal, news, headlines, and media speculation about DXC Technology that are available to investors today. That information is available publicly through DXC media outlets and privately through word of mouth or via DXC internal channels. However, regardless of the origin, that massive amount of DXC data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of DXC Technology news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of DXC Technology relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to DXC Technology's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive DXC Technology alpha.
DXC Technology Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards DXC Technology can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
DXC Technology Corporate Directors
| Manoj Singh | Independent Director | Profile | |
| Akihiko Washington | Independent Director | Profile | |
| Peter Rutland | Lead Independent Director | Profile | |
| Robert Woods | Independent Director | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in DXC Technology Co. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in interest. You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is IT Consulting & Other Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of DXC Technology. If investors know DXC will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about DXC Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.53) | Earnings Share 0.18 | Revenue Per Share 72.47 | Quarterly Revenue Growth (0.06) | Return On Assets 0.0103 |
The market value of DXC Technology is measured differently than its book value, which is the value of DXC that is recorded on the company's balance sheet. Investors also form their own opinion of DXC Technology's value that differs from its market value or its book value, called intrinsic value, which is DXC Technology's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because DXC Technology's market value can be influenced by many factors that don't directly affect DXC Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between DXC Technology's value and its price, as these two are different measures arrived at by various means. Investors typically determine if DXC Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, DXC Technology's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.