Billionaire Larry Robbins’ Long-Term Stock Picks

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5. DXC Technology Company (NYSE:DXC)

Number of Hedge Fund Holders: 30  

Glenview Capital’s Stake: $231.8 million

DXC Technology Company (NYSE:DXC) is a multinational information technology (IT) services and consulting company headquartered in Ashburn, Virginia. This company emerges as a prime investment opportunity for several reasons. First and foremost, the report for the fiscal year 2024 showed great financial growth and operational efficiency. For instance, operating cash flow of $1,361 million, less capital expenditures of $605 million, resulted in free cash flow of $756 million, representing the third consecutive year where DXC generated more than $700 million in free cash flow. This indicates that the company is effectively managing its cash, creating value for shareholders, and maintaining flexibility for strategic investments or debt reduction. Secondly, the company has made an agreement with Ferrari to extend their partnership to develop the next generations of Ferrari’s in-vehicle infotainment systems enabling drivers to be closer to the high-performance functionality of Ferrari vehicles. Moreover, DXC Technology has extended a strategic partnership with ServiceNow to fast-track generative AI value for businesses globally. The companies have formed a Center of Excellence, bringing together DXC’s industry and implementation expertise with ServiceNow’s GenAI solutions, to streamline AI adoption for customers.

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