Xerox (NYSE:XRX) Shares Up 7.5% – Here’s What Happened

Xerox Holdings Co. (NYSE:XRX)’s share price shot up 7.5% on Tuesday . The stock traded as high as $9.10 and last traded at $9.04. 465,191 shares were traded during trading, a decline of 78% from the average session volume of 2,102,476 shares. The stock had previously closed at $8.41.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on XRX shares. StockNews.com upgraded Xerox from a “hold” rating to a “buy” rating in a research report on Thursday, December 26th. JPMorgan Chase & Co. decreased their price objective on Xerox from $11.00 to $8.00 and set an “underweight” rating on the stock in a report on Wednesday, October 30th. Finally, Morgan Stanley cut their target price on Xerox from $10.00 to $8.00 and set an “underweight” rating for the company in a research note on Wednesday, October 30th. Three equities research analysts have rated the stock with a sell rating, one has given a hold rating and one has assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $9.50.

Xerox Stock Up 0.8 %

The company has a current ratio of 1.26, a quick ratio of 0.95 and a debt-to-equity ratio of 2.11. The stock has a 50 day simple moving average of $8.74 and a 200 day simple moving average of $10.00. The firm has a market capitalization of $1.11 billion, a PE ratio of -0.81 and a beta of 1.59.

Xerox (NYSE:XRX) last announced its quarterly earnings results on Tuesday, October 29th. The information technology services provider reported $0.25 earnings per share for the quarter, missing the consensus estimate 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 firm had revenue of $1.53 billion for the quarter, compared to analysts’ expectations of $1.63 billion. During the same period in the previous year, the company earned $0.46 EPS. The company’s quarterly revenue was down 7.5% on a year-over-year basis. As a group, sell-side analysts forecast that Xerox Holdings Co. will post 1.12 earnings per share for the current year.

Xerox Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, January 31st. Shareholders of record on Tuesday, December 31st will be given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 11.21%. The ex-dividend date is Tuesday, December 31st. Xerox’s payout ratio is -9.06%.

Institutional Investors Weigh In On Xerox

Large investors have recently made changes to their positions in the business. Los Angeles Capital Management LLC lifted its position in Xerox by 5.9% during the second quarter. Los Angeles Capital Management LLC now owns 23,930 shares of the information technology services provider’s stock valued at $278,000 after buying an additional 1,327 shares during the period. The Manufacturers Life Insurance Company lifted its position in Xerox by 2.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 63,666 shares of the information technology services provider’s stock valued at $740,000 after acquiring an additional 1,627 shares in the last quarter. US Bancorp DE increased its holdings in shares of Xerox by 42.3% in the 3rd quarter. US Bancorp DE now owns 6,353 shares of the information technology services provider’s stock worth $66,000 after purchasing an additional 1,888 shares in the last quarter. Gladius Capital Management LP purchased a new position in shares of Xerox in the third quarter worth $29,000. Finally, Plato Investment Management Ltd lifted its holdings in shares of Xerox by 45.0% during the second quarter. Plato Investment Management Ltd now owns 9,346 shares of the information technology services provider’s stock valued at $109,000 after purchasing an additional 2,899 shares in the last quarter. 85.36% of the stock is currently owned by institutional investors.

About Xerox

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.