Xerox (NYSE:XRX) Shares Down 2.6% – Should You Sell?

Xerox Holdings Co. (NYSE:XRX) was down 2.6% during trading on Tuesday . The stock traded as low as $9.16 and last traded at $9.20. Approximately 1,264,631 shares traded hands during trading, a decline of 43% from the average daily volume of 2,218,857 shares. The stock had previously closed at $9.45.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on XRX. JPMorgan Chase & Co. dropped their price target on Xerox from $11.00 to $8.00 and set an “underweight” rating on the stock in a research note on Wednesday, October 30th. Morgan Stanley reduced their price target on shares of Xerox from $10.00 to $8.00 and set an “underweight” rating for the company in a research report on Wednesday, October 30th. Finally, StockNews.com raised shares of Xerox from a “hold” rating to a “buy” rating in a research note on Thursday. Three research analysts have rated the stock with a sell rating, one has given a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $9.50.

Xerox Stock Performance

The firm’s fifty day moving average is $8.99 and its 200 day moving average is $10.35. The firm has a market capitalization of $1.15 billion, a price-to-earnings ratio of -0.84 and a beta of 1.59. The company has a debt-to-equity ratio of 2.11, a current ratio of 1.26 and a quick ratio of 0.95.

Xerox (NYSE:XRX) last issued its earnings results on Tuesday, October 29th. The information technology services provider reported $0.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.51 by ($0.26). Xerox had a negative net margin of 21.31% and a positive return on equity of 6.60%. The company had revenue of $1.53 billion for the quarter, compared to analyst estimates of $1.63 billion. During the same period last year, the business earned $0.46 EPS. The company’s quarterly revenue was down 7.5% on a year-over-year basis. On average, analysts predict that Xerox Holdings Co. will post 1.12 EPS for the current fiscal year.

Xerox Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, January 31st. Stockholders of record on Tuesday, December 31st will be issued a dividend of $0.25 per share. The ex-dividend date is Tuesday, December 31st. This represents a $1.00 annualized dividend and a dividend yield of 10.83%. Xerox’s dividend payout ratio is -9.06%.

Institutional Trading of Xerox

Institutional investors have recently added to or reduced their stakes in the business. Louisiana State Employees Retirement System lifted its stake in shares of Xerox by 2.7% in the 2nd quarter. Louisiana State Employees Retirement System now owns 57,500 shares of the information technology services provider’s stock valued at $668,000 after purchasing an additional 1,500 shares during the last quarter. Panagora Asset Management Inc. increased its holdings in shares of Xerox by 8.1% during the 2nd quarter. Panagora Asset Management Inc. now owns 342,715 shares of the information technology services provider’s stock valued at $3,982,000 after acquiring an additional 25,819 shares during the last quarter. Innealta Capital LLC bought a new position in shares of Xerox in the 2nd quarter valued at approximately $115,000. BNP PARIBAS ASSET MANAGEMENT Holding S.A. acquired a new stake in Xerox in the 2nd quarter worth approximately $457,000. Finally, Mizuho Markets Americas LLC boosted its position in Xerox by 282.4% during the second quarter. Mizuho Markets Americas LLC now owns 353,682 shares of the information technology services provider’s stock worth $4,110,000 after purchasing an additional 261,180 shares during the period. 85.36% of the stock is currently owned by institutional investors and hedge funds.

Xerox Company Profile

Xerox Holdings Corporation, together with its subsidiaries, operates as a workplace technology company that integrates hardware, services, and software for enterprises in the Americas, Europe, the Middle East, Africa, India, and internationally. The company operates through two segments, Print and Other; and FITTLE.