DXC Technology Company's stock plummeted 21.40% during intraday trading on Friday, extending sharp losses from the pre-market session. The severe decline followed the company's release of its fiscal fourth-quarter 2026 results and disappointing forward-looking guidance.

The technology services provider reported quarterly revenue of $3.13 billion, which represented a 1.2% decline year-over-year and slightly missed analyst expectations. More significantly, the company issued guidance for fiscal year 2027 that fell well below Wall Street estimates, forecasting adjusted earnings of $2.40 to $2.90 per share compared to the $3.28 consensus estimate. Revenue guidance of $12.11 billion to $12.35 billion also missed expectations.

Investor sentiment was further dampened by a quarterly net loss of $140 million and a 13.5% year-over-year decline in bookings. Analyst firm Stifel responded to the results by lowering its price target on DXC Technology shares from $14 to $12 while maintaining a Hold rating.