Digital Disruption Will Erode Overpriced IT Market Share

AN

AnalystLowTarget

Not Invested

Community Contributor

Published

22 Jun 25

Updated

15 Apr 26

Views

20

15 Apr

US$9.50

AnalystLowTarget's Fair Value

US$13.00

26.9% undervalued

1Y

-35.6%

7D

6.3%

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1Y

-35.6%

7D

6.3%

You can edit this narrative until Apr 16 8:15 PM. Then, changes will post as Updates.

Author's Valuation

US$1326.9% undervalued

AnalystLowTarget Fair Value

Shared on 15 Apr 26

DXC: Future AI Execution Will Balance Revenue Pressures And Fair Outlook

Analysts have maintained their $13.00 price target on DXC Technology, citing updated assumptions that now reflect a smaller revenue decline, a lower profit margin, and a higher future P/E multiple in their models. What's in the News DXC launched new Assure Smart Apps built on ServiceNow for insurance clients, targeting modular, AI-driven workflows that aim to cut manual processes by 30 to 40% and shorten cycle times by up to 30% in focused 12 week deployments (Product related announcement).

1 view

Shared on 17 Feb 26

Fair value Decreased 13%

DXC: Fair Outlook Balances Declining Revenue With AI Expansion Initiatives

Analysts have trimmed their DXC Technology price target from $15.00 to $13.00, citing updated assumptions that reflect a higher 12.33% discount rate, a revenue decline closer to 2.17%, slimmer profit margins near 0.69%, and a higher future P/E of about 31.40x. What's in the News DXC updated full year fiscal 2026 guidance, now expecting total revenue of about US$12.69b, described as a 4.3% organic year-over-year decline compared with the prior guided range of US$12.67b to US$12.81b, which was framed as a 4.5% to 3.5% organic decline (Key Developments).

1 view

Valuator

Company Info

Notes

AnalystLowTarget Fair Value

US$13

26.9% undervalued

Future estimation in

Revenue

Profit Margin

Future PE

Growth p.a.

%

Decrease

Increase

Forecast revenue growth rate

-1.92%

Historical revenue growth rate

-7.21%

IT revenue growth rate

0.72%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

%

0

Decrease

Increase

Current discount rate

12.46%

Calculation

US$75.40m

Earnings '29

x

33.97x

PE Ratio '29

=

US$2.56b

Market Cap '29

US$2.56b

Market Cap '29

/

139.44m

No. shares '29

=

US$18.37

Share Price '29

US$18.37 Share Price '29

Discounted to 2026 @ 12.33% p.a.

=

US$12.96

Fair Value '26