Xerox (NYSE:XRX) Shares Up 7.5% - Should You Buy?

Xerox Holdings Co. (NYSE:XRX - Get Free Report) was up 7.5% during trading on Tuesday . The company traded as high as $9.10 and last traded at $9.04. Approximately 465,191 shares traded hands during mid-day trading, a decline of 78% from the average daily 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 commented on the company. JPMorgan Chase & Co. decreased their price objective on Xerox from $11.00 to $8.00 and set an "underweight" rating for the company in a research report on Wednesday, October 30th. Morgan Stanley cut their price objective on 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 Xerox from a "hold" rating to a "buy" rating in a report on Thursday, December 26th. Three equities research analysts have rated the stock with a sell rating, one has issued a hold rating and one has assigned a buy rating to the stock. According to data from MarketBeat.com, Xerox presently has a consensus rating of "Hold" and an average target price of $9.50.

Xerox Stock Up 5.2 %

The company has a debt-to-equity ratio of 2.11, a quick ratio of 0.95 and a current ratio of 1.26. The firm has a market capitalization of $1.10 billion, a P/E ratio of -0.80 and a beta of 1.59. The firm's 50-day moving average is $8.73 and its 200 day moving average is $10.00.

Xerox (NYSE:XRX - Get Free Report) last released its 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 during the quarter, compared to the consensus estimate of $1.63 billion. During the same period in the prior year, the business posted $0.46 earnings per share. Xerox's quarterly revenue was down 7.5% compared to the same quarter last year. As a group, equities research analysts predict that Xerox Holdings Co. will post 1.12 EPS for the current fiscal year.

Xerox Dividend Announcement

The firm also recently announced 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. The ex-dividend date of this dividend is Tuesday, December 31st. This represents a $1.00 dividend on an annualized basis and a dividend yield of 11.30%. Xerox's payout ratio is presently -9.06%.

Institutional Trading of Xerox

Several large investors have recently modified their holdings of the stock. Tidal Investments LLC raised its position in Xerox by 26.1% during the third quarter. Tidal Investments LLC now owns 68,359 shares of the information technology services provider's stock valued at $710,000 after purchasing an additional 14,164 shares in the last quarter. Geode Capital Management LLC increased its stake in shares of Xerox by 2.3% in the 3rd quarter. Geode Capital Management LLC now owns 2,808,775 shares of the information technology services provider's stock valued at $29,161,000 after purchasing an additional 62,947 shares during the last quarter. Barclays PLC raised its holdings in shares of Xerox by 55.5% during the 3rd quarter. Barclays PLC now owns 469,106 shares of the information technology services provider's stock worth $4,869,000 after buying an additional 167,500 shares in the last quarter. Stifel Financial Corp lifted its position in shares of Xerox by 44.2% during the 3rd quarter. Stifel Financial Corp now owns 152,380 shares of the information technology services provider's stock worth $1,582,000 after buying an additional 46,708 shares during the last quarter. Finally, Point72 Asset Management L.P. boosted its stake in Xerox by 39.2% in the third quarter. Point72 Asset Management L.P. now owns 38,312 shares of the information technology services provider's stock valued at $398,000 after buying an additional 10,794 shares in the last quarter. 85.36% of the stock is 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.