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Should Value Investors Buy DXC Technology (DXC) Stock?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is DXC Technology (DXC - Free Report) . DXC is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 10.34 right now. For comparison, its industry sports an average P/E of 27.58. Over the past 52 weeks, DXC's Forward P/E has been as high as 12.97 and as low as 9.43, with a median of 11.38.
Investors will also notice that DXC has a PEG ratio of 1.43. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. DXC's industry has an average PEG of 2.79 right now. DXC's PEG has been as high as 1.57 and as low as 0.90, with a median of 1.11, all within the past year.
Finally, our model also underscores that DXC has a P/CF ratio of 6.38. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. DXC's P/CF compares to its industry's average P/CF of 22.38. Over the past 52 weeks, DXC's P/CF has been as high as 26.86 and as low as 5.92, with a median of 11.24.
These are just a handful of the figures considered in DXC Technology's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DXC is an impressive value stock right now.
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Should Value Investors Buy DXC Technology (DXC) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is DXC Technology (DXC - Free Report) . DXC is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 10.34 right now. For comparison, its industry sports an average P/E of 27.58. Over the past 52 weeks, DXC's Forward P/E has been as high as 12.97 and as low as 9.43, with a median of 11.38.
Investors will also notice that DXC has a PEG ratio of 1.43. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. DXC's industry has an average PEG of 2.79 right now. DXC's PEG has been as high as 1.57 and as low as 0.90, with a median of 1.11, all within the past year.
Finally, our model also underscores that DXC has a P/CF ratio of 6.38. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. DXC's P/CF compares to its industry's average P/CF of 22.38. Over the past 52 weeks, DXC's P/CF has been as high as 26.86 and as low as 5.92, with a median of 11.24.
These are just a handful of the figures considered in DXC Technology's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that DXC is an impressive value stock right now.