📊 AI Stock Rating — Summary

In the quarter ending September 30, 2025, DXC reported revenue of $3.161 billion with net income of $36 million, resulting in an earnings per share (EPS) of $0.20. The company's free cash flow and precise operating cash flow figures were not disclosed, indicating potential areas for further clarification. Year-over-year revenue growth is stable, but net margin is slim at around 1.1%. The balance sheet shows total assets of $13.582 billion against liabilities of $10.246 billion, culminating in equity of $3.336 billion and net debt of $436 million. DXC's stock price appears steady with a consensus target price of $14, as per analyst estimates. The absence of recent dividends and share buybacks reflects a strategic pause or reinvestment strategy. With the last dividend payout traced back to March 2020, investor returns are more reliant on capital appreciation opportunities and business growth.

AI Score Breakdown

Revenue Growth — Score: 5/10

DXC shows stable revenue at $3.161 billion this quarter, with limited variation indicating consistent performance. However, growth catalysts are not prominent in recent results.

Profitability — Score: 4/10

The net margin is a modest 1.1%, with an EPS of $0.20, indicating low profit capture. Operational efficiencies could be improved for better profitability.

Cash Flow Quality — Score: 3/10

Details on operating or free cash flow were not provided, raising concerns about liquidity and cash generation efficacy.

Leverage & Balance Sheet — Score: 6/10

With total equity of $3.336 billion and net debt at $436 million, DXC maintains a moderate leverage profile, suggesting balanced financial resilience.

Shareholder Returns — Score: 4/10

No dividends or buybacks reported recently; shares likely rely on capital gains for returns. Analysts set a price target of $14, implying stable but limited upside.

Analyst Sentiment & Valuation — Score: 5/10

Analyst targets see the price at $14, potentially undervalued or appropriately priced given current metrics, which suggests a cautious but neutral stance on valuation.

⚠ AI-generated — informational only, not financial advice.