DXC Technology has taken a significant step in December 2025 by launching AdvisoryX, a global advisory and consulting group. This initiative merges strategic, operational, and technological expertise to help enterprises bridge the divide between their ambitions for artificial intelligence (AI) and its practical execution. By combining consulting-led engagements with a robust engineering framework and integrated AI lifecycle solutions, DXC aims to facilitate a transition for companies from merely piloting AI projects to adopting governed, scalable deployments that can transform their operational models, workforce skills, and overall productivity.
The introduction of AdvisoryX reflects DXC Technology’s strategic pivot towards higher-value AI and cloud consulting, which is crucial for countering the ongoing organic revenue declines and challenges in its Global Infrastructure Services (GIS) segment. However, while AdvisoryX is designed to convert AI interest into tangible execution, it does not alleviate the immediate pressures on revenue or the risks associated with competition from larger hyperscalers and digital-native firms. The company’s ability to turn strong bookings into actual, profitable growth remains critical for its financial health.
Alongside AdvisoryX, DXC has been undergoing a leadership and talent refresh, highlighted by the expansion of its Chief Digital Information Officer role, which will focus on AI transformation. These developments frame AI-centric consulting and delivery as essential components of DXC’s overall strategy, which could be pivotal in stabilizing revenue momentum or exposing the company to further margin pressures and client attrition.
Despite the company’s recent initiatives, investors are advised to remain cautious. DXC Technology’s narrative projects revenues of $12.1 billion and earnings of $208.6 million by 2028, projecting a 1.7% annual revenue decline and a significant decrease in earnings of $170.4 million from the current $379.0 million. Analysts estimate a fair value for the stock at $14.50, which indicates a 5% downside to its current market price.
Members of the Simply Wall St Community hold varying views on DXC’s valuation, with estimates ranging from US$8 to US$262. This broad spectrum of opinions underscores the challenges DXC faces in addressing its declining organic revenues and its reliance on converting bookings into realized growth. Investors must weigh these perspectives carefully as they consider the implications of DXC’s AI strategy on future performance.
Furthermore, as DXC leans into AI, the broader industry landscape continues to evolve. The rapid advancement of AI capabilities and the increasing competition among technology firms are reshaping the consulting and advisory services market. DXC’s ability to differentiate itself through AdvisoryX and effectively harness AI solutions will be crucial for its long-term sustainability and growth.
In summary, while AdvisoryX represents a promising avenue for DXC Technology to enhance its consulting offerings and address the execution gap associated with AI, the company must navigate significant financial and competitive challenges. Investors should remain vigilant, given the mixed signals regarding DXC’s future performance and the potential impact of external market conditions.
For a more in-depth look at DXC Technology’s current market position and future outlook, visit the official DXC Technology website and explore additional insights on stock performance and industry trends.
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