As much as it pains me to state this, this is the ultimate truth, and false hope is something that could prove to be the biggest enemy of a DXC employee at this point. Don’t want to talk down on anybody or play the”wise guy”, I’m still at DXC too, but I’ve put all of my resources into getting a new job. The sooner we make peace with reality and set our sights into getting a new job ,the better for us. Just my well -wishing advice, nothing else.
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Just got off a call regarding a service that was deemed End of Life over a year ago. 200+ clients and virtually no progress made in that time. That plus there is no budget to fix it and all the massive WFRs in the area make it virtually impossible to execute on any plan whatsoever. This would be hysterical if it weren't so sad.
Hope is dead, the king is dead, and God knows where this company is headed. If there is a company left. CEO should have been fired years ago and at his age senile and a drag to the company.
GET OUT OF THIS COMPANY NOW, IT IS GOING DOWNHILL
@108KPeqh-2jqm its not illegal insider trading. Read up on 10b5-1.
It is however a deliberate attempt to demonstrate CEO confidence when we know that there is little confidence to be had!
@3hss DXC will probably end up being bought, but not just yet, and certainly not by Christmas.
This particular story still has some time to run.
IBM or more likely HCL don't need to buy the company, they can pick up the clients they want without having to take on the entire set of obligations and costs and risks, just focus on their target clients and markets while DXC messes around trying to turn itself into a PwC Lite with "squads" and "digital transformation" focus
It’s getting sold by Christmas. HCL or IBM buying.
Surely if the fat man JR Ewing Lawrie is buying stock to umphhh the share price this is inside trading then. Why the f*** this fat leather faced cowboy not being investigated. More importantly how are you all standing and watching the r—d do it. Confront the weasel
The reason why his salary dropped is because of the share price falling vs 2018. If you look at his past regular planned activity, he sells his stock award over the year in regular planned chunks. The share price down 46% hurt him personally. Its quite clear this is him doubling down to improve his own income over the next year. As a director he can make this influence because its reported. If any non directors bought more dxc it wouldn't be reported and wouldn't influence the market nearly as much per dollar spent. In the same four month period he'll probably sell more shares than is reported here... Wall Street capitalism is smoke and mirrors
You can't write it off as loss in taxes, unless you have a gain in other stocks to play it against. Lookup up capital gains US tax laws https://www.nerdwallet.com/blog/taxes/capital-gains-tax-rates/
Penny stock for millionaires
The reason to purchase in a down trending company is to help increase value by purchase activity. False allusions for shareholders if he is willing to dump his chump change into the sinking ship to keep a float just a little longer.
At over $32m a year it’s nothing to drop $1m to keep foolish investors around a little longer and then right it off as a loss in taxes when the bottom falls out of the stocks before the years end.
The purchase was under a 10b5-1 plan, its not his regular stock award as payment for his "services".
These 10b5-1 is a SEC mechanism for insiders to buy stock without it being considered insider trading. Obviously like anything with the SEC thats a pretty limited policy just going through the motions rather than anything substantial. It has a time limit on the duration of "no insider knowledge" and its hard to prove its illegal short of some pretty stupid things said or done by directors.
https://www.marketscreener.com/DXC-TECHNOLOGY-COMPANY-34481067/news/DXC-TECHNOLOGY-CO-Other-Events-form-8-K-28767384/
Between now and October 2016 he has scheduled a buy of up to $1 million in shares. I guess thats roughly $250k a month between July and October.
It's still almost certainly a demonstration of his confidence in DXC.... or at least a charade of that because lets face it, he really can't be that stupid and detached can he? Its got to be a crocodile smile.
US$56,000? Nope, he bought 4,166 shares of DXC on 07/18/2019 at an average price of $56.26 a share. The total cost of this purchase was $234,379.
Even then it makes little sense. When you earn somewhere between 16 and 34 million a year, playing with these sorts of money is chicken feed.
I suspect that this is a move to show "confidence" in DXC. He's not gambling a lot but this is the first time I can remember that he's been flagged as an insider buyer.
Bound to be market manipulation - this would/could/should bump the share price.
The other thing it probably means is that there isn't a sale coming soon - otherwise this transaction could be considered insider trading and illegal...
"Why did ML just purchase $56,000 worth of DXC stock? You don’t buy unless you think you can make money from it" -> Urgently needed toilet paper...
Those are share options baked into his contract, there are more to follow no doubt regardless of how the company does!
Why did ML just purchase $56,000 worth of DXC stock? You don’t buy unless you think you can make money from it
ML is an old man with old man's ideas. It seems he is following an evolved form of this.
https://en.wikipedia.org/wiki/Corporate_raid
Hollowing out an IT company works short term but ML still hasn't sold the husk, so shareholders have bailed on him reducing the share price to 50%.
The question now is "can ML sell before he is booted out?"
unfortunately seems no hope left