CSC à vendre ? Pas vraiment selon certains analystes …
Dans l’article publié sur le Washington business journal le 3 décembre (voir ci-dessous) ou sur le lien suivant : http://www.bizjournals.com/washington/blog/fedbiz_daily/2014/12/csc-buyout-invetiable-hardly-one-analyst-says.html
on comprend beaucoup de « manœuvres » pour essayer de vendre CSC mais sans fins. Lisez . Vous comprendrez…
Dec 3, 2014
Talk of a Computer Sciences Corp. acquisition has circulated quite a bit, largely stemming from the company’s aggressive cost cutting maneuvers that managed to get its stock price to climb. But not all analysts are convinced it’s a smart buy.
Jill R. Aitoro
Senior Staff Reporter- Washington Business Journal
Talk of a Computer Sciences Corp. acquisition has circulated quite a bit, largely stemming from the company’s aggressive cost-cutting maneuvers and rising stock price. But is buyout likely? Not all analysts think so.
New York-based DeepDive Equity Research, which was founded earlier this year by former Sanford C. Bernstein & Co. equity analyst Rod Bourgeois, pegs CSC as a risky bet, setting out to debunk a number of theories that have spurred acquisition talk.
The October report, authored by Bourgeois, casts doubt on the success of the second phase of CSC’s reorganization, which focuses on growth in outsourcing and cloud computing among commercial customers via partnerships with technology vendors in the space. CSC has been banking on generating new revenue following years of cost cutting, which would enable a buyer to reap added value, but Bourgeois predicts volatility in revenue and margins far lower than expectations.
« We see patterns suggesting that CSC’s overall turnaround effort may be stumbling, » Bourgeois wrote.
The DeepDive Equity report argues that Falls Church-based CSC might have cut costs too much and today may be « over-earning » from improvements to the balance sheet that don’t translate to new business. CSC’s cost savings are largely already reaped, the report notes, and cash flow is too « choppy and overall poor » to enable the spending on operational expenses, capital expenses or working capital. Free cash flow has improved in recent quarters, the report adds, but much of that was thanks to short-term factors, including tax and pension benefits.
As I’ve reported in the past, CSC has managed to bolster its bottom line and subsequently its share price by cutting overheard. That’s been achieved via widespread reductions in workforce and benefits, as well as the more recently implemented use-it-or-lose it vacation policy and lump-sum payouts on pensions. Both of the latter strategies offset liability on the books but don’t contribute to the top line.