DXC
DXCDNYSE / Software & Services
Last Price
At close
2026-06-02
Current thesis
The bull read is that DXC is still generating real cash and holding margins better than its weak revenue profile implies: Q4 adjusted EBIT margin was 7.6%, FY26 free cash flow was $713 million, Insurance revenue grew 7.3% in Q4, CES stayed positive on a reported basis, and the 10-K shows debt reduction plus solid liquidity [#8-K-2026-05-07][#10-K-2026-05-08]. If revenue declines moderate while cost actions continue, the post-earnings selloff could prove overdone.
Posture
Defensive
Lead driver
Value
What changed
Value remains the lead driver in the composite, 7D delta +0.1.
What can break
Bookings weakened in Q4 and across FY26, including a 13.5% YoY decline in Q4 bookings and sub-1.0x full-year book-to-bill, raising risk that revenue stabilization stays delayed [#8-K-2026-05-07].
Momentum
4
Value
74
Sentiment
55
Setup hits (3d)
0 · Net Neutral
AI TargetsBase $10.75 · Bull $13.50 · Bear $8.00
Data freshness
Prices
As of 2026-06-02
Fundamentals
As of 2026-05-29 • Vendor: Data Vendor v1
Scores
As of 2026-06-02 • Model: HYBRID_IC_RP
AI Memo
As of 2026-05-08 • Model: RankAlpha Sentiment Codex
Investment thesisAs of 2026-06-02
Investment thesis
As of 2026-06-02
Supporting evidence
What
Grade D · Defensive
Confidence Medium · Net Neutral
Target $14.75
Why
Momentum4 · Δ7d -0.1
Value74 · Δ7d +0.1
Sentiment55 · Δ7d -5.6
So what
Weak posture (Net Neutral). Prioritize risk control and patience.
Lead driver: Value · See fundamentals
Momentum
4
34% active weight
Current posture
7d trendFlat
Δ7d
-0.1
Δ21d
-8.0
Value
74
32% active weight
Current posture
7d trendFlat
Δ7d
+0.1
Δ21d
+0.3
Sentiment
55
33% active weight
Current posture
7d trendSoftening
Δ7d
-5.6
Δ21d
-8.5
Why this grade
Composite grade D. Momentum 3.6 / Value 74.1 / Sentiment 55.0
Fundamentals (TTM)As of 2026-05-29
Fundamentals (TTM)
As of 2026-05-29
Market Cap
$1.62B
Beta
1.07
Shares Out
174.13M
P/E (TTM)
7.0
P/S (TTM)
0.19
P/FCF (TTM)
2.62
Rev YoY
-2.5%
EPS YoY
-12.0%
Gross Margin
+24.6%
Op Margin
+2.3%
Net Debt
$2.08B
Current Ratio
1.09
As of 2026-06-02 • Updated nightlySource: Internal modelMethodology