DXC Technology Company (DXC) AI Stock Analysis

DXC Technology Company delivers information technology services and solutions globally across North America, Europe, Asia, and Australia. The company operates two primary segments: Global Business Services (GBS) and Global Infrastructure Services (GIS). GBS provides analytics services, software engineering, consulting, and data analytics solutions to help clients optimize operations and accelerate digital transformation. GIS specializes in modernizing legacy applications for cloud environments, migrating workloads, and managing multi-cloud infrastructures. In addition, GIS offers cybersecurity solutions, workplace services, and IT outsourcing to manage critical client systems.

DXC Technology has experienced contracting revenue in recent fiscal years, falling from $16.27B in FY2022 to $14.43B in FY2023, $13.67B in FY2024, $12.87B in FY2025, and $12.64B in FY2026. This reflects a 5-year revenue CAGR of -6.5%. Gross margin compressed to 14.8% in FY2026 from 24.1% in FY2025, while operating margin fell to 2.0%. Net income shrank from $389.0M in FY2025 to $18.0M in FY2026. For the trailing twelve months, revenue reached $12.48B with a profit margin of 1.0%. In the latest quarter ended June 30, 2026, quarterly revenue fell 5.1% year-over-year, while quarterly earnings grew 726.3%.

As of June 30, 2026, DXC held $1.96B in cash and short-term investments against total debt of $4.17B, resulting in net debt of $2.22B. Shareholders' equity was $3.06B, with a debt-to-equity ratio of 1.37 and a current ratio of 1.41. In FY2026, the company generated $1.25B in operating cash flow and $1.04B in free cash flow. DXC directed cash toward capital expenditures of $212.0M and share buybacks of $249.0M, contributing to a 34.8% reduction in share count over 5 years.

DXC trades at a market capitalization of $2.18B and an enterprise value of $3.96B. The stock's forward P/E of 4.2x is well below the 18.8x median of its US-listed Technology peers. Its trailing P/E stands at 17.9x versus the peer median of 28.1x, while its EV-to-EBITDA multiple is 2.1x compared to the peer median of 16.6x. Over the past year, DXC returned 6.2%, trailing the S&P 500 (SPY) return of 16.8%. Over a 5-year period, DXC returned -61.0% versus 83.0% for the index.

Wall Street coverage consists of 0 Strong Buy, 0 Buy, 7 Hold, 1 Sell, and 0 Strong Sell ratings. The mean price target is $11.21, representing a downside of 17.7% from the last close of $13.62. For the fiscal year ending March 31, 2027, analysts estimate EPS of $2.58 on revenue of $12.14B. For the following fiscal year, 6 analysts project EPS of $2.95 and revenue of $12.00B. DXC beat EPS estimates in 3 of the last 4 quarters, with its next earnings date scheduled for October 29, 2026.

This page is an AI-written research summary of DXC Technology Company (DXC). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: DXC income statement, DXC balance sheet, DXC key metrics, DXC analyst forecast, DXC chart. See the DXC stock overview for the latest quote and news.