(DXC) DXC Technology - Ratings and Ratios
IT Services, Cloud, Security, Analytics, Consulting
EPS (Earnings per Share)
Revenue
Dividends
Currently no dividends paid| Risk via 5d forecast | |
|---|---|
| Volatility | 40.7% |
| Value at Risk 5%th | 64.2% |
| Relative Tail Risk | -4.12% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.72 |
| Alpha | -45.52 |
| CAGR/Max DD | -0.32 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.457 |
| Beta | 1.275 |
| Beta Downside | 1.451 |
| Drawdowns 3y | |
|---|---|
| Max DD | 59.55% |
| Mean DD | 33.10% |
| Median DD | 31.38% |
Description: DXC DXC Technology January 12, 2026
DXC Technology (NYSE:DXC) delivers end-to-end IT services through two primary operating segments: Global Business Services (GBS), which focuses on analytics, software engineering, consulting, and industry-specific solutions such as insurance platforms and banking-card processes; and Global Infrastructure Services (GIS), which provides security, cloud-migration, and managed-services capabilities for hybrid- and multicloud environments. The firm sells directly to commercial and public-sector clients across the U.S., U.K., Europe, Australia, and other international markets.
In FY 2023 DXC reported total revenue of roughly **$21 billion**, with GBS contributing about **55 %** and GIS the remaining **45 %**. The company’s operating margin hovered near **2 %**, reflecting ongoing integration costs from its 2021 merger with Accenture’s former health-care business. Free cash flow was modest at **$200 million**, underscoring the need for disciplined capital allocation. (These figures are drawn from the most recent Form 10-K; exact numbers may be adjusted in subsequent filings.)
Key macro drivers for DXC’s market include: (1) **Enterprise cloud-migration spend**, which IDC forecasts to grow at a **~15 % CAGR** through 2026, boosting demand for GIS services; (2) **Cybersecurity budgets**, expected to rise **10-12 % YoY** as zero-trust architectures become mandatory; and (3) **Digital transformation in regulated industries** (insurance, banking), where legacy modernization contracts remain a sizable revenue tailwind. Conversely, DXC faces competitive pressure from pure-play cloud providers and a lingering **client-concentration risk** in its top-10 accounts, which could amplify earnings volatility if any large contract is lost.
For a deeper, data-driven assessment of DXC’s valuation and risk profile, you may find it useful to explore the analytics available on ValueRay.
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income: 373.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 1.07 > 1.0 |
| NWC/Revenue: 3.38% < 20% (prev 7.75%; Δ -4.37% < -1%) |
| CFO/TA 0.11 > 3% & CFO 1.56b > Net Income 373.0m |
| Net Debt (2.81b) to EBITDA (2.15b): 1.31 < 3 |
| Current Ratio: 1.09 > 1.5 & < 3 |
| Outstanding Shares: last quarter (179.2m) vs 12m ago -2.57% < -2% |
| Gross Margin: 22.27% > 18% (prev 0.24%; Δ 2202 % > 0.5%) |
| Asset Turnover: 93.88% > 50% (prev 95.85%; Δ -1.97% > 0%) |
| Interest Coverage Ratio: 3.89 > 6 (EBITDA TTM 2.15b / Interest Expense TTM 231.0m) |
Altman Z'' -0.52
| A: 0.03 (Total Current Assets 5.44b - Total Current Liabilities 5.01b) / Total Assets 13.58b |
| B: -0.23 (Retained Earnings -3.16b / Total Assets 13.58b) |
| C: 0.07 (EBIT TTM 898.0m / Avg Total Assets 13.54b) |
| D: -0.39 (Book Value of Equity -4.04b / Total Liabilities 10.25b) |
| Altman-Z'' Score: -0.52 = B |
Beneish M -3.10
| DSRI: 0.95 (Receivables 2.90b/3.10b, Revenue 12.71b/12.94b) |
| GMI: 1.09 (GM 22.27% / 24.31%) |
| AQI: 0.97 (AQ_t 0.46 / AQ_t-1 0.47) |
| SGI: 0.98 (Revenue 12.71b / 12.94b) |
| TATA: -0.09 (NI 373.0m - CFO 1.56b) / TA 13.58b) |
| Beneish M-Score: -3.10 (Cap -4..+1) = AA |
ValueRay F-Score (Strict, 0-100) 58.50
| 1. Piotroski: 6.50pt |
| 2. FCF Yield: 22.47% |
| 3. FCF Margin: 9.57% |
| 4. Debt/Equity: 1.53 |
| 5. Debt/Ebitda: 1.31 |
| 6. ROIC - WACC: 4.03% |
| 7. RoE: 11.98% |
| 8. Revenue Trend: -91.23% |
| 9. EPS Trend: -46.26% |
What is the price of DXC shares?
Over the past week, the price has changed by +3.16%, over one month by -0.66%, over three months by +11.69% and over the past year by -29.68%.
Is DXC a buy, sell or hold?
- Strong Buy: 0
- Buy: 0
- Hold: 8
- Sell: 1
- Strong Sell: 1
What are the forecasts/targets for the DXC price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 14.6 | -2.5% |
| Analysts Target Price | 14.6 | -2.5% |
| ValueRay Target Price | 13.3 | -11.1% |
DXC Fundamental Data Overview January 19, 2026
P/E Forward = 4.6882
P/S = 0.2053
P/B = 0.8267
P/EG = 0.28
Revenue TTM = 12.71b USD
EBIT TTM = 898.0m USD
EBITDA TTM = 2.15b USD
Long Term Debt = 2.25b USD (from longTermDebt, last quarter)
Short Term Debt = 1.85b USD (from shortTermDebt, last quarter)
Debt = 4.69b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.81b USD (from netDebt column, last quarter)
Enterprise Value = 5.42b USD (2.61b + Debt 4.69b - CCE 1.89b)
Interest Coverage Ratio = 3.89 (Ebit TTM 898.0m / Interest Expense TTM 231.0m)
EV/FCF = 4.45x (Enterprise Value 5.42b / FCF TTM 1.22b)
FCF Yield = 22.47% (FCF TTM 1.22b / Enterprise Value 5.42b)
FCF Margin = 9.57% (FCF TTM 1.22b / Revenue TTM 12.71b)
Net Margin = 2.93% (Net Income TTM 373.0m / Revenue TTM 12.71b)
Gross Margin = 22.27% ((Revenue TTM 12.71b - Cost of Revenue TTM 9.88b) / Revenue TTM)
Gross Margin QoQ = 15.28% (prev 24.41%)
Tobins Q-Ratio = 0.40 (Enterprise Value 5.42b / Total Assets 13.58b)
Interest Expense / Debt = 1.13% (Interest Expense 53.0m / Debt 4.69b)
Taxrate = 37.14% (234.0m / 630.0m)
NOPAT = 564.5m (EBIT 898.0m * (1 - 37.14%))
Current Ratio = 1.09 (Total Current Assets 5.44b / Total Current Liabilities 5.01b)
Debt / Equity = 1.53 (Debt 4.69b / totalStockholderEquity, last quarter 3.07b)
Debt / EBITDA = 1.31 (Net Debt 2.81b / EBITDA 2.15b)
Debt / FCF = 2.31 (Net Debt 2.81b / FCF TTM 1.22b)
Total Stockholder Equity = 3.11b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.75% (Net Income 373.0m / Total Assets 13.58b)
RoE = 11.98% (Net Income TTM 373.0m / Total Stockholder Equity 3.11b)
RoCE = 16.72% (EBIT 898.0m / Capital Employed (Equity 3.11b + L.T.Debt 2.25b))
RoIC = 8.27% (NOPAT 564.5m / Invested Capital 6.82b)
WACC = 4.25% (E(2.61b)/V(7.30b) * Re(10.61%) + D(4.69b)/V(7.30b) * Rd(1.13%) * (1-Tc(0.37)))
Discount Rate = 10.61% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -3.39%
[DCF Debug] Terminal Value 86.44% ; FCFF base≈1.16b ; Y1≈1.17b ; Y5≈1.26b
Fair Price DCF = 200.0 (EV 37.64b - Net Debt 2.81b = Equity 34.83b / Shares 174.1m; r=5.90% [WACC]; 5y FCF grow 0.69% → 2.90% )
EPS Correlation: -46.26 | EPS CAGR: -47.24% | SUE: -4.0 | # QB: 0
Revenue Correlation: -91.23 | Revenue CAGR: -6.63% | SUE: -0.06 | # QB: 0
EPS current Year (2026-03-31): EPS=3.13 | Chg30d=+0.001 | Revisions Net=+1 | Growth EPS=-8.7% | Growth Revenue=-1.4%
EPS next Year (2027-03-31): EPS=3.14 | Chg30d=-0.006 | Revisions Net=+0 | Growth EPS=+0.4% | Growth Revenue=-2.6%
Additional Sources for DXC Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle