DXC Technology (DXC) and Park City Group (PCYG) Critical Contrast

DXC Technology (NYSE:DXC) and Park City Group (NASDAQ:PCYG) are both computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, valuation, institutional ownership, dividends, risk, analyst recommendations and earnings.

Dividends

DXC Technology pays an annual dividend of $0.76 per share and has a dividend yield of 0.8%. Park City Group does not pay a dividend. DXC Technology pays out 9.6% of its earnings in the form of a dividend.

Valuation and Earnings

This table compares DXC Technology and Park City Group’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
DXC Technology $24.56 billion 1.03 $1.75 billion $7.94 11.35
Park City Group $22.04 million 8.32 $3.40 million $0.15 61.80

DXC Technology has higher revenue and earnings than Park City Group. DXC Technology is trading at a lower price-to-earnings ratio than Park City Group, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

85.2% of DXC Technology shares are held by institutional investors. Comparatively, 27.9% of Park City Group shares are held by institutional investors. 0.7% of DXC Technology shares are held by company insiders. Comparatively, 37.4% of Park City Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for DXC Technology and Park City Group, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
DXC Technology 0 5 11 1 2.76
Park City Group 0 0 0 0 N/A

DXC Technology presently has a consensus price target of $104.19, suggesting a potential upside of 15.66%. Given DXC Technology’s higher possible upside, equities analysts plainly believe DXC Technology is more favorable than Park City Group.

Risk and Volatility

DXC Technology has a beta of 0.96, meaning that its stock price is 4% less volatile than the S&P 500. Comparatively, Park City Group has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500.

Profitability

This table compares DXC Technology and Park City Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
DXC Technology 7.74% 18.67% 7.39%
Park City Group 15.47% 9.17% 7.25%

Summary

DXC Technology beats Park City Group on 10 of the 16 factors compared between the two stocks.

DXC Technology Company Profile

DXC Technology Company, together with its subsidiaries, provides information technology services and solutions primarily in North America, Europe, Asia, and Australia. It operates through three segments: Global Business Services (GBS), Global Infrastructure Services (GIS), and United States Public Sector (USPS). The GBS segment offers technology solutions comprising enterprise, cloud application, and consulting services; application services; analytics services; business process services; and industry software and solutions. The GIS segment offers cloud and platform services; workplace, mobility, and Internet of Things services; and security solutions. The USPS segment delivers IT services and business solutions to all levels of government in the United States. This segment offers cloud, platform, and IT outsourcing services; enterprise and cloud application services; enterprise security solutions; mobile enterprise, virtual desktop and application, and workplace device services; and analytics services, such as analytics platforms, information governance, artificial intelligence, and advisory services. The company was formerly known as Computer Sciences Corporation and changed its name to DXC Technology Company in April 2017 as a result of its merger with the Enterprise Services business of Hewlett Packard Enterprise Company. DXC Technology Company was founded in 1959 and is headquartered in Tysons, Virginia.

Park City Group Company Profile

Park City Group, Inc., a software-as-a-service provider, designs, develops, markets, and supports proprietary software products. The company offers its products for businesses having multiple locations to assist in the management of business operations on a daily basis and communicate results of operations in a timely manner. It provides advanced commerce and supply-chain solutions that enables the retailer and supplier to manage inventory, product mix, and labor under the Scan Based Trading, ScoreTracker, Vendor Managed Inventory, Store Level Replenishment, Enterprise Supply Chain Planning, Fresh Market Manager, and ActionManager names. The company also offers ReposiTrak, a cloud based solution that helps food, pharmaceutical, and dietary supplement retailers and suppliers to protect their brands and remain in compliance with business records and regulatory requirements. In addition, it provides business-consulting services to suppliers and retailers in the grocery, convenience store, and specialty retail industries, as well as professional consulting services. The company primarily serves multi-store retail and convenience store chains, branded food manufacturers, suppliers and distributors, and manufacturing companies in North America, Europe, Asia, and the Pacific Rim. Park City Group, Inc. was founded in 1990 and is headquartered in Salt Lake City, Utah.

Receive News & Ratings for DXC Technology Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for DXC Technology and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply