(DXC) DXC Technology - Overview
Sector: Technology | Industry: Information Technology Services | Exchange: NYSE (USA) | Market Cap: 1.492m USD | Total Return: -41.6% in 12m
IT Consulting, Cloud Infrastructure, Software Engineering, Data Analytics
Total Rating 22
Safety 40
Buy Signal -0.98
Information Technology Services
Industry Rotation: +4.7
Industry Rotation: +4.7
Market Cap:
1.49B
Avg Turnover: 50.5M
Avg Turnover: 50.5M
Risk 3d forecast
Volatility53.8%
VaR 5th Pctl9.12%
VaR vs Median3.09%
Reward TTM
Sharpe Ratio-0.87
Rel. Str. IBD3.5
Rel. Str. Peer Group13
Character TTM
Beta1.257
Beta Downside1.696
Hurst Exponent0.417
Drawdowns 3y
Max DD71.15%
CAGR/Max DD-0.41
CAGR/Mean DD-0.82
EPS (Earnings per Share)
EPS CAGR: 0.70%
EPS Trend: 9.2%
EPS Trend: 9.2%
Last SUE: 1.45
Qual. Beats: 3
Qual. Beats: 3
Revenue
Rev. CAGR: -4.41%
Rev. Trend: -89.2%
Rev. Trend: -89.2%
Last SUE: -0.53
Qual. Beats: 0
Qual. Beats: 0
Warnings
P/E ratio 91.2
Altman Z'' -0.30 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
No distinct edge detected
Description: DXC DXC Technology
DXC Technology Company is a global IT services provider operating through two primary segments: Global Business Services (GBS) and Global Infrastructure Services (GIS). The GBS division focuses on software engineering, data analytics, and industry-specific applications for the banking and insurance sectors. The GIS division manages cloud infrastructure, cybersecurity, and IT outsourcing, emphasizing hybrid cloud orchestration and zero-trust security frameworks.
As a player in the IT Consulting & Other Services sub-industry, the company operates within a sector characterized by high switching costs for mission-critical enterprise applications. Its business model relies on a direct sales force to maintain long-term service contracts with both commercial and public sector clients. Examining the underlying fundamentals on ValueRay can help clarify how these service segments impact long-term valuation.
Headquartered in Ashburn, Virginia, DXC leverages a vast partner ecosystem to automate operations and modernize legacy systems for international clients. The firm’s portfolio includes proprietary modular insurance software and specialized business process services designed to improve operational agility and total cost of ownership for large-scale organizations.
- Legacy infrastructure services revenue decline pressures overall organic growth and margins
- Expansion of high-margin Global Business Services segment offsets commoditized outsourcing contraction
- Aggressive cost-cutting initiatives and workforce optimization drive quarterly earnings per share
- High debt leverage and interest expense impact free cash flow allocation
- Shift toward cloud-based managed services dictates long-term contract renewal rates and profitability
Piotroski VR‑10 (Strict)
3.5
| Net Income: 18.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 0.14 > 1.0 |
| NWC/Revenue: 11.25% < 20% (prev 7.40%; Δ 3.86% < -1%) |
| CFO/TA 0.10 > 3% & CFO 1.25b > Net Income 18.0m |
| Net Debt (2.51b) to EBITDA (1.42b): 1.77 < 3 |
| Current Ratio: 1.36 > 1.5 & < 3 |
| Outstanding Shares: last quarter (178.7m) vs 12m ago -3.35% < -2% |
| Gross Margin: 14.80% > 18% (prev 0.24%; Δ 1.46k% > 0.5%) |
| Asset Turnover: 96.91% > 50% (prev 97.47%; Δ -0.56% > 0%) |
| Interest Coverage Ratio: 1.19 > 6 (EBITDA TTM 1.42b / Interest Expense TTM 216.0m) |
Altman Z''
-0.30
| A: 0.11 (Total Current Assets 5.36b - Total Current Liabilities 3.94b) / Total Assets 12.89b |
| B: -0.23 (Retained Earnings -2.94b / Total Assets 12.89b) |
| C: 0.02 (EBIT TTM 258.0m / Avg Total Assets 13.05b) |
| D: -0.40 (Book Value of Equity -3.83b / Total Liabilities 9.68b) |
| Altman-Z'' Score: -0.30 = B |
Beneish M
-2.56
| DSRI: 1.02 (Receivables 2.97b/2.97b, Revenue 12.64b/12.87b) |
| GMI: 1.63 (GM 14.80% / 24.09%) |
| AQI: 0.99 (AQ_t 0.45 / AQ_t-1 0.45) |
| SGI: 0.98 (Revenue 12.64b / 12.87b) |
| TATA: -0.10 (NI 18.0m - CFO 1.25b) / TA 12.89b) |
| Beneish M-Score: -2.56 (Cap -4..+1) = A |
What is the price of DXC shares?
As of May 20, 2026, the stock is trading at USD 8.93 with a total of 4,786,049 shares traded.
Over the past week, the price has changed by +0.34%, over one month by -32.91%, over three months by -33.06% and over the past year by -41.60%.
Over the past week, the price has changed by +0.34%, over one month by -32.91%, over three months by -33.06% and over the past year by -41.60%.
Is DXC a buy, sell or hold?
DXC Technology has received a consensus analysts rating of 2.70.
Therefor, it is recommend to hold DXC.
- StrongBuy: 0
- Buy: 0
- Hold: 8
- Sell: 1
- StrongSell: 1
What are the forecasts/targets for the DXC price?
| Analysts Target Price | 12 | 34.4% |
DXC Technology (DXC) - Fundamental Data Overview
as of 19 May 2026
P/E Trailing = 91.25 P/E Forward = 3.6193
P/S = 0.118
P/B = 0.4969
P/EG = 0.4907
Revenue TTM = 12.64b USD
EBIT TTM = 258.0m USD
EBITDA TTM = 1.42b USD
Long Term Debt = 2.99b USD (from longTermDebt, two quarters ago)
Short Term Debt = 752.0m USD (from shortTermDebt, last quarter)
Debt = 4.25b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.51b USD (from netDebt column, last quarter)
Enterprise Value = 4.00b USD (1.49b + Debt 4.25b - CCE 1.74b)
Interest Coverage Ratio = 1.19 (Ebit TTM 258.0m / Interest Expense TTM 216.0m)
EV/FCF = 3.86x (Enterprise Value 4.00b / FCF TTM 1.04b)
FCF Yield = 25.89% (FCF TTM 1.04b / Enterprise Value 4.00b)
FCF Margin = 8.19% (FCF TTM 1.04b / Revenue TTM 12.64b)
Net Margin = 0.14% (Net Income TTM 18.0m / Revenue TTM 12.64b)
Gross Margin = 14.80% ((Revenue TTM 12.64b - Cost of Revenue TTM 10.77b) / Revenue TTM)
Gross Margin QoQ = -4.54% (prev 23.76%)
Tobins Q-Ratio = 0.31 (Enterprise Value 4.00b / Total Assets 12.89b)
Interest Expense / Debt = 1.30% (Interest Expense 55.0m / Debt 4.25b)
Taxrate = 21.0% (US default 21%)
NOPAT = 203.8m (EBIT 258.0m * (1 - 21.00%))
Current Ratio = 1.36 (Total Current Assets 5.36b / Total Current Liabilities 3.94b)
Debt / Equity = 1.44 (Debt 4.25b / totalStockholderEquity, last quarter 2.94b)
Debt / EBITDA = 1.77 (Net Debt 2.51b / EBITDA 1.42b)
Debt / FCF = 2.42 (Net Debt 2.51b / FCF TTM 1.04b)
Total Stockholder Equity = 3.08b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.14% (Net Income 18.0m / Total Assets 12.89b)
RoE = 0.58% (Net Income TTM 18.0m / Total Stockholder Equity 3.08b)
RoCE = 4.25% (EBIT 258.0m / Capital Employed (Equity 3.08b + L.T.Debt 2.99b))
RoIC = 3.01% (NOPAT 203.8m / Invested Capital 6.78b)
WACC = 3.46% (E(1.49b)/V(5.74b) * Re(10.40%) + D(4.25b)/V(5.74b) * Rd(1.30%) * (1-Tc(0.21)))
Discount Rate = 10.40% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -28.89 | Cagr: -3.14%
[DCF] Terminal Value 86.44% ; FCFF base≈1.04b ; Y1≈1.05b ; Y5≈1.14b
[DCF] Fair Price = 191.2 (EV 33.77b - Net Debt 2.51b = Equity 31.26b / Shares 163.5m; r=6.0% [WACC]; 5y FCF grow 0.69% → 3.0% )
EPS Correlation: 9.22 | EPS CAGR: 0.70% | SUE: 1.45 | # QB: 3
Revenue Correlation: -89.15 | Revenue CAGR: -4.41% | SUE: -0.53 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.42 | Chg30d=-39.21% | Revisions=-56% | Analysts=7
EPS next Quarter (2026-09-30): EPS=0.72 | Chg30d=-15.26% | Revisions=-50% | Analysts=7
EPS current Year (2027-03-31): EPS=2.61 | Chg30d=-20.32% | Revisions=-60% | GrowthEPS=-19.3% | GrowthRev=-3.3%
EPS next Year (2028-03-31): EPS=3.04 | Chg30d=-16.17% | Revisions=-20% | GrowthEPS=+16.5% | GrowthRev=-1.3%
[Analyst] Revisions Ratio: -60%