Computer Sciences Corp. (CSC)) easily beat Wall Street’s expectations and share are setting new 52-week highs.

Company Description

CSC offers a variety of services included outsourcing, systems integration, consulting, and e-business solution to global companies and governments.

Crushed Estimates

On Aug 6 CSC reported great first-quarter results, for fiscal 2010, despite a decrease in revenue. Earnings per shares came in at 74 cents, more than 45% higher than the Zacks Consensus Estimate which was 51 cents.

This was the company’s third consecutive surprise.

Estimates Climb

Following the report all 11 analysts provided full-year estimates increased their forecast. The Zacks Consensus Estimate for this year is now $4.92, up from $4.09 over the past 3 months.

The average projection for next year is currently $5.11, up from $4.30 in that time span. These estimates would yield annual growth rates of 20% and 4%, respectively.

Trading at a Discount

One share of CSC will cost you less than 10 times forward earnings. Currently the PEG ratio is just over 1.0. Both levels are lower than the industry norm.

The Chart

Investors were encouraged by the recent report, sending shares higher to set a new 52-week high. Take a look at the chart below.

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