DXC Technology CoSTU:2XT -2.64%45 FCF Margin % is 4.19% as of Mar. 2026, which is 35% below its 10-year median of 6.47. GuruFocus rates STU:2XT with a GF Score™ of 45/100 and a GF Value™ of €17.49 (Possible Value Trap). The stock has 2 warning signs investors should review. Among 2,815 Software companies, DXC Technology Co ranks better than 61.6% on this metric.
The historical rank and industry rank for DXC Technology Co's FCF Margin % or its related term are showing as below:
STU:2XT'
s FCF Margin % Range Over the Past 10 Years
Min: -2.21 Med: 6.47 Max: 10.1
Current: 6.46
During the past 13 years, the highest FCF Margin % of DXC Technology Co was 10.10%. The lowest was -2.21%. And the median was 6.47%.
STU:2XT's FCF Margin % is ranked better than 61.6% of 2815
companies
in the Software industry
Industry Median: 2.41
vs STU:2XT: 6.46
DXC Technology Co FCF Margin % Related Terms
DXC Technology Co FCF Margin % Historical Data
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The historical data trend for DXC Technology Co's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
STU:2XT vs CLVT, CNXC, GLOB: FCF Margin % Comparison
For the Information Technology Services subindustry, DXC Technology Co's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
DXC Technology Co FCF Margin % vs Software Industry
For the Software industry and Technology sector, DXC Technology Co's FCF Margin % distribution charts can be found below:
* The bar in red indicates where DXC Technology Co's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
DXC Technology Co (STU:2XT) has a FCF Margin % of 4.19% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on DXC Technology Co and its competitors. This is 35% below median its historical median of 6.47. According to the industry distribution chart, DXC Technology Co ranks #1081 out of 2815 companies in the Software industry, placing it in the top 38.4%.
Is DXC Technology Co's FCF Margin % too high?
DXC Technology Co's current FCF Margin % of 4.19% is 35% below median its 10-year median of 6.47. The Software industry median FCF Margin % is 2.41. DXC Technology Co's value of 4.19% is 73.9% above this industry median. Based on the distribution chart, DXC Technology Co ranks #1081 out of 2815 companies in the Software industry, which is above the industry midpoint. Overall, DXC Technology Co has a GF Score™ of 45/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does DXC Technology Co's FCF Margin % compare to CLVT and CNXC?
According to the Software industry distribution chart, DXC Technology Co ranks #1081 out of 2815 companies for FCF Margin %. This puts DXC Technology Co in the upper half of its industry. The industry median FCF Margin % is 2.41. DXC Technology Co's value of 4.19% is 73.9% above this benchmark. While the company's 10-year median is 6.47 vs. the industry median of 2.41, DXC Technology Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.41, based on 2,815 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. DXC Technology Co's current FCF Margin % of 4.19% is 73.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on DXC Technology Co and its competitors. For the Software industry, the median FCF Margin % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DXC Technology Co's current FCF Margin % is 4.19%, which is 35% below median its own 10-year median of 6.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DXC Technology Co stock overvalued right now?
Based on GuruFocus' analysis, DXC Technology Co (STU:2XT) is currently considered Possible Value Trap. The stock's GF Value™ is €17.49, compared to a current price of €7.20 — trading 58.8% below its estimated fair value. The current FCF Margin % is 4.19%, which is 35% below median its 10-year median of 6.47 and 73.9% above the Software industry median of 2.41. DXC Technology Co's overall GF Score™ is 45/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For DXC Technology Co (STU:2XT), the current FCF Margin % is 4.19% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is DXC Technology Co (STU:2XT) Overvalued in 2026?
Based on GuruFocus' analysis, DXC Technology Co stock appears to be undervalued.
The current stock price of €7.20 is trading 58.8% below its estimated GF Value™ of €17.49.
GuruFocus considers DXC Technology Co to be Possible Value Trap.
Key valuation signals for STU:2XT:
FCF Margin %: 4.19% (35% below median its 10-year median of 6.47)
GF Value™: €17.49 vs. price of €7.20 (58.8% below fair value)
Industry Position: 73.9% above the Software median (#1081 of 2815)
No single metric tells the full story. See the STU:2XT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DXC Technology Co is a vendor-independent IT services provider. The company's operating segment includes Global Business Services (GBS) and Global Infrastructure Services (GIS). It generates maximum revenue from the GIS segment. GIS offerings include Cloud and Security; IT Outsourcing and Modern Workplace. Geographically, it derives a majority of revenue from the Other Europe region.
45GF Score
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FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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