Xerox (NYSE:XRX) Reaches New 12-Month Low Following Weak Earnings

Xerox Holdings Co. (NYSE:XRX)’s share price reached a new 52-week low during trading on Tuesday following a dissappointing earnings announcement. The stock traded as low as $8.53 and last traded at $8.57, with a volume of 899267 shares traded. The stock had previously closed at $10.28.

The information technology services provider reported $0.25 earnings per share for the quarter, missing the consensus estimate of $0.53 by ($0.28). Xerox had a positive return on equity of 7.33% and a negative net margin of 1.60%. The business had revenue of $1.53 billion for the quarter, compared to analyst estimates of $1.63 billion. During the same period in the previous year, the company earned $0.46 earnings per share. The company’s quarterly revenue was down 7.5% compared to the same quarter last year.

Analysts Set New Price Targets

A number of analysts have recently commented on the stock. Loop Capital cut their target price on shares of Xerox from $14.00 to $11.00 and set a “hold” rating for the company in a research note on Wednesday, August 14th. StockNews.com upgraded Xerox from a “hold” rating to a “buy” rating in a research note on Thursday, September 5th. JPMorgan Chase & Co. reduced their target price on Xerox from $11.00 to $8.00 and set an “underweight” rating for the company in a report on Wednesday. Finally, Morgan Stanley lowered their price target on Xerox from $10.00 to $8.00 and set an “underweight” rating on the stock in a research note on Wednesday. Three equities research analysts have rated the stock with a sell rating, one has issued a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $9.50.

Institutional Trading of Xerox

Several large investors have recently bought and sold shares of XRX. SummerHaven Investment Management LLC boosted its holdings in shares of Xerox by 2.4% during the 2nd quarter. SummerHaven Investment Management LLC now owns 47,430 shares of the information technology services provider’s stock worth $551,000 after purchasing an additional 1,110 shares during the last quarter. Texas Permanent School Fund Corp increased its position in Xerox by 1.4% during the first quarter. Texas Permanent School Fund Corp now owns 98,961 shares of the information technology services provider’s stock worth $1,771,000 after purchasing an additional 1,323 shares during the last quarter. Los Angeles Capital Management LLC raised its holdings in Xerox by 5.9% in the 2nd 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. CWM LLC increased its stake in Xerox by 155.5% during the second quarter. CWM LLC now owns 2,264 shares of the information technology services provider’s stock worth $26,000 after purchasing an additional 1,378 shares during the period. Finally, Covestor Ltd lifted its position in shares of Xerox by 16.2% during the 1st quarter. Covestor Ltd now owns 10,512 shares of the information technology services provider’s stock worth $188,000 after purchasing an additional 1,464 shares during the last quarter. Hedge funds and other institutional investors own 85.36% of the company’s stock.

Xerox Price Performance

The company has a quick ratio of 1.13, a current ratio of 1.49 and a debt-to-equity ratio of 1.34. The stock has a fifty day moving average of $10.37 and a 200-day moving average of $11.88. The stock has a market capitalization of $1.02 billion, a price-to-earnings ratio of -7.84 and a beta of 1.57.

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.