7 Analysts Assess DXC Technology: What You Need To Know

DXC Technology DXC has been analyzed by 7 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $18.21, along with a high estimate of $22.00 and a low estimate of $15.00. This current average has decreased by 17.86% from the previous average price target of $22.17.

Interpreting Analyst Ratings: A Closer Look

The standing of DXC Technology among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to DXC Technology. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of DXC Technology compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of DXC Technology's stock. This analysis reveals shifts in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of DXC Technology's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on DXC Technology analyst ratings.

Get to Know DXC Technology Better

DXC Technology Co is a vendor-independent IT services provider. The company's operating segment includes Global Business Services (GBS) and Global Infrastructure Services (GIS). It generates maximum revenue from the GIS segment. GIS offerings include Cloud and Security; IT Outsourcing and Modern Workplace. Geographically, it derives a majority of revenue from the Other Europe region.

DXC Technology: Financial Performance Dissected

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: DXC Technology's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2024, the company experienced a revenue decline of approximately -0.38%. This indicates a decrease in the company's top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of -5.91%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): DXC Technology's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -6.48% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): DXC Technology's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -1.39%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: With a high debt-to-equity ratio of 1.59, DXC Technology faces challenges in effectively managing its debt levels, indicating potential financial strain.

What Are Analyst Ratings?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.