
DXC Technology (DXC) Stock Forecast & Price Target
DXC Technology (DXC) Analyst Ratings
Bulls say
DXC Technology Co has demonstrated strong financial performance, with both its Global Business Services (GBS) and Global Infrastructure Services (GIS) segments showing significant improvements in their book-to-bill ratios, particularly GIS, which achieved a book-to-bill of 1.28x, reflecting a 33% increase in bookings for the quarter. Additionally, the company is effectively managing its capital structure, having reduced its net debt by approximately $785 million and plans to further reduce outstanding debt while returning $150 million to shareholders through share repurchases. The consistent organic revenue growth in its Insurance and BPS segment, coupled with a positive outlook for continued growth, underscores DXC Technology's resilience and potential for sustained financial health.
Bears say
DXC Technology is facing significant challenges reflected in a projected downside scenario of $12, which indicates a low valuation metric of 4.5 times the adjusted EPS estimate for CY26, suggesting concerns over its operational performance and strategic execution. Additionally, the company has reported a 6.3% decline in revenue tied to persistent headwinds in its legacy outsourcing segment, with expectations of continued year-over-year revenue declines in the Global Infrastructure Services (GIS) segment, primarily driven by macroeconomic uncertainties. The current market valuation reflects a 10% discount to historical averages, justified by ongoing organic revenue declines and underwhelming guidance, particularly amidst weaker performance in the consumer and retail sectors.
This aggregate rating is based on analysts' research of DXC Technology and is not a guaranteed prediction by Public.com or investment advice.
DXC Technology (DXC) Analyst Forecast & Price Prediction
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