CSC vs DXC Technology Which Should You Buy?

CSC and DXC Technology are both multinational IT services companies that provide a wide range of technology solutions to clients around the world. CSC, also known as Computer Sciences Corporation, has a long history in the industry and a strong reputation for delivering quality services. On the other hand, DXC Technology is a relatively new player in the market, formed through a merger between CSC and Hewlett Packard Enterprise Services. Both companies have seen fluctuations in their stock prices in recent years, making them interesting options for investors looking to capitalize on the rapidly evolving tech sector.

CSC or DXC Technology?

When comparing CSC and DXC Technology, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between CSC and DXC Technology.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. CSC has a dividend yield of -%, while DXC Technology has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. CSC reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, DXC Technology reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with CSC P/E ratio at -1.79 and DXC Technology's P/E ratio at 170.45. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. CSC P/B ratio is 0.53 while DXC Technology's P/B ratio is 1.37.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, CSC has seen a 5-year revenue growth of -0.52%, while DXC Technology's is -0.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with CSC's ROE at -24.52% and DXC Technology's ROE at 0.82%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are S$0.01 for CSC and $22.09 for DXC Technology. Over the past year, CSC's prices ranged from S$0.01 to S$0.01, with a yearly change of 140.00%. DXC Technology's prices fluctuated between $14.79 and $25.14, with a yearly change of 69.98%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.