Zacks Research Issues Pessimistic Outlook for Xerox Earnings

Xerox Holdings Co. (NASDAQ:XRX) – Equities research analysts at Zacks Research cut their Q3 2026 earnings per share estimates for Xerox in a report released on Thursday, August 20th. Zacks Research analyst Team now expects that the information technology services provider will post earnings of ($0.06) per share for the quarter, down from their prior estimate of $0.16. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Xerox’s current full-year earnings is $0.17 per share. Zacks Research also issued estimates for Xerox’s Q1 2027 earnings at $0.03 EPS and FY2027 earnings at $0.72 EPS.

Xerox (NASDAQ:XRX) last announced its earnings results on Thursday, July 30th. The information technology services provider reported $0.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.06 by $0.32. The company had revenue of $1.92 billion for the quarter, compared to analyst estimates of $1.90 billion. Xerox had a negative net margin of 11.93% and a positive return on equity of 17.61%. Xerox’s quarterly revenue was up 22.0% on a year-over-year basis. During the same period in the prior year, the business earned ($0.64) earnings per share.

XRX has been the topic of a number of other research reports. Noble Financial began coverage on Xerox in a research report on Tuesday, August 18th. They set an “outperform” rating and a $5.00 price target on the stock. Needham & Company LLC set a $5.00 price target on Xerox in a research report on Tuesday, August 18th. Weiss Ratings reissued a “sell (d-)” rating on shares of Xerox in a research report on Friday, July 24th. Finally, Citigroup reissued a “neutral” rating and set a $3.45 target price (up from $2.50) on shares of Xerox in a report on Friday, July 31st. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, Xerox currently has an average rating of “Hold” and an average target price of $4.48.

Xerox Price Performance

Shares of XRX stock opened at $2.85 on Monday. The firm has a market cap of $374.25 million, a price-to-earnings ratio of -0.39 and a beta of 2.40. The company has a quick ratio of 0.85, a current ratio of 1.18 and a debt-to-equity ratio of 12.58. Xerox has a 12 month low of $1.19 and a 12 month high of $4.27. The stock has a 50-day moving average price of $2.95 and a 200 day moving average price of $2.39.

Xerox Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 30th. Stockholders of record on Wednesday, September 30th will be paid a $0.025 dividend. The ex-dividend date is Wednesday, September 30th. This represents a $0.10 annualized dividend and a dividend yield of 3.5%. Xerox’s dividend payout ratio (DPR) is presently -1.36%.

Hedge Funds Weigh In On Xerox

A number of institutional investors have recently added to or reduced their stakes in XRX. Goldman Sachs Group Inc. raised its position in shares of Xerox by 339.3% during the fourth quarter. Goldman Sachs Group Inc. now owns 9,294,446 shares of the information technology services provider’s stock worth $22,028,000 after acquiring an additional 7,178,915 shares during the last quarter. Paradigm Capital Management Inc. NY acquired a new stake in shares of Xerox in the 2nd quarter valued at about $5,626,000. First Eagle Investment Management LLC increased its holdings in shares of Xerox by 89.4% during the fourth quarter. First Eagle Investment Management LLC now owns 2,182,500 shares of the information technology services provider’s stock valued at $5,173,000 after acquiring an additional 1,030,000 shares in the last quarter. Charles Schwab Investment Management Inc. raised its holdings in Xerox by 32.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 3,498,232 shares of the information technology services provider’s stock worth $8,291,000 after buying an additional 854,119 shares during the last quarter. Finally, Jacobs Levy Equity Management Inc. lifted its position in Xerox by 123.2% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 1,528,219 shares of the information technology services provider’s stock valued at $5,746,000 after acquiring an additional 843,504 shares in the last quarter. 85.36% of the stock is currently owned by institutional investors and hedge funds.

Xerox Company Profile

Xerox Holdings Corporation (NYSE: XRX) is a global provider of document management technology and services. The company designs and manufactures a broad range of multifunction printers, production printers, digital presses and related consumables. In addition to its hardware offerings, Xerox delivers software and workflow automation solutions, managed print services and cloud-based document platforms that help organizations optimize their information-intensive processes.

Founded in 1906 as The Haloid Photographic Company, Xerox pioneered xerographic imaging in the late 1940s, launching the first plain-paper copier in 1959.