DXC will survive for years, but it won’t thrive without a major strategic reset or acquisition.
It’s a stable but shrinking legacy outsourcer — not a modern tech company. Is this true?
8 replies (most recent on top)
Our stock price is low enough now that we are an easy/cheap acquisition. Probably not going to happen in the short term becuase most private equity funds are waiting to see the outcome of current geopolitical issues. There is a good chance we are even cheaper if things go bad (different topic but most PE are expecting things to get worse). I would say some sort of acquisition announced in the next 12 months with the follow-on sale of the parts within 12 months after that.
@br cos having been with the company over 20 years, and planning on retiring. I won't be just quitting cos you tell me. They can pay me a redundancy or I will sit about doing not a lot playing the game and topping up my savings until the bitter end. Few left are looking for or need a job.
@bn Then go, your not chained to your desk !
@bg Can't it be more like 6 months! I'm quite happy to go by the end of this year.
DXC is in its final stretch. It doesn’t have 10 years left, probably not even 3. As Raul said, DXC’s problem isn’t just the lack of pipeline or demand, it’s also execution. The company is failing on every front simultaneously. No amount of AI lipstick is going to hide the rot underneath. When a company can’t sell, can’t deliver and can’t retain confidence, the end becomes a matter of time. They will be stripping the place for parts dumping every asset they can find at bargain prices just to keep paying the debt and to return capital to shareholders.
DXC has finally entered endgame and not before time. What happens next is Institutional investors quietly drop shares without spooking the market, and Govts with CNI contracts quietly start screaming 😱. There are contractual triggers based of share price that have already activated which will not help matters. Potential buyers will now come back with reduced offers that now look good compared to last week.
If you work for DXC in the UK pray for TUPE or VR / EoW, it's your best bet.
We operate for very risk adverse organisations. Those organisations have run it the way it is for decades. They are very slow to change anything. Eventually they do move on. It's rarely with DXC.
@OP DXC’s biggest problem isn’t money — it’s momentum.
Companies rarely die from lack of cash.
They die from:
lack of relevance
lack of differentiation
lack of growth
lack of talent retention
lack of strategic clarity
DXC is suffering from all five.