Should You Consider Adding DXC Technology Company (DXC) to Your Portfolio?
Patient Capital Management, a value investing firm, released its “Patient Capital Opportunity Equity Strategy” third quarter 2023 investor letter. A copy of the same can be downloaded here. During the quarter the strategy returned -6.0% net of fees compared to the S&P 500’s -3.3% return. As the quarter demonstrated, the markets are uncertain. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Patient Capital Management highlighted stocks like DXC Technology Company (NYSE:DXC) in the Q3 2023 investor letter. Headquartered in Ashburn, Virginia, DXC Technology Company (NYSE:DXC) is an information technology company that operates through Global Business Services (GBS) and Global Infrastructure Services (GIS) segments. On November 1, 2023, DXC Technology Company (NYSE:DXC) stock closed at $20.29 per share. One-month return of DXC Technology Company (NYSE:DXC) was -4.47%, and its shares lost 21.08% of their value over the last 52 weeks. DXC Technology Company (NYSE:DXC) has a market capitalization of $4.163 billion.
Patient Capital Management made the following comment about DXC Technology Company (NYSE:DXC) in its Q3 2023 investor letter:
"We re-entered DXC Technology Company (NYSE:DXC) in the quarter. We previously owned DXC and did well in it. Mike Salvino joined the company as CEO in 2019 after spending a decade at Accenture PLC. Upon joining, Mike focused on stabilizing the business with a goal of returning the company to growth using the same playbook he perfected at Accenture. Over the ensuing years, progress was made with improving margins, stronger free cash flow generation, higher client net promoter scores (NPS)and improved employee retention. While the inflection to topline growth has been more challenging, the company produces copious amounts of free cash flow which is being returned to shareholders. The company expects to generate $800M in free cash flow, an 18% FCF yield and is committed to completing their $1B repurchase authorization in FY24, 22% of shares outstanding."
A technology executive in front of a laptop, illustrating the company's digital capabilities.
DXC Technology Company (NYSE:DXC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 25 hedge fund portfolios held DXC Technology Company (NYSE:DXC) at the end of second quarter which was 23 in the previous quarter.
We discussed DXC Technology Company (NYSE:DXC) in another article and shared the list of stocks in Larry Robbins portfolio. In addition, please check out our hedge fund investor letters Q3 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
