Sanford Bernstein lowered its outlook on Computer Sciences (CSC).
Analyst Rod Bourgeois says he's expressed ongoing concerns about Computer Sciences' economics and its weak return on invested capital results, as well as accounting patterns that potentially hold negative implications for earnings power. He's been studying specific accounting patterns (e.g., rising cost capitalization, declining selling, general and administrative costs) and querying managment on these topics for quite some time.
In conclusion, he stresses the major need for more disclosure, and thinks more a cautious stance is merited on the stock, in absence of more information to explain some specific accounting patterns. He cut his target to $32, and is keeping his market perform rating.