DXC Technology Company (DXC) shares continued their downward trajectory on Friday, plummeting 5.06% in intraday trading. This decline follows a sharp 15.46% pre-market drop on Thursday, as investors continue to react to the company's disappointing financial outlook for fiscal year 2026.

The primary catalyst for the stock's ongoing decline is DXC Technology's recent announcement of lowered profit and revenue forecasts for fiscal year 2026. While specific details of the revised projections were not disclosed, the market's persistent negative response suggests that the revisions have significantly dampened investor confidence in the company's near-term growth prospects.

Adding to the bearish sentiment, several financial institutions have adjusted their outlook on DXC Technology. Morgan Stanley cut its price target from $22 to $16, while RBC lowered its target from $27 to $18, maintaining a Sector Perform rating. These downgrades from analysts further contribute to the stock's weakness. According to FactSet, the average rating for DXC Technology is now "hold," with a mean price target of $16.88, indicating a cautious stance from the analyst community as they reassess the company's future performance in light of the lowered guidance.