Xerox (NASDAQ:XRX) Stock Price Target Lowered at Citigroup

Xerox (NASDAQ:XRX) had its price target decreased by Citigroup from $2.50 to $1.50 in a report released on Friday,Benzinga reports. Citigroup currently has a sell rating on the information technology services provider’s stock.

XRX has been the subject of several other research reports. Noble Financial assumed coverage on Xerox in a research note on Tuesday, August 18th. They set an “outperform” rating and a $5.00 price target for the company. Weiss Ratings reissued a “sell (d-)” rating on shares of Xerox in a research note on Thursday, October 22nd. Finally, Needham & Company LLC set a $5.00 price objective on shares of Xerox in a research report on Tuesday, August 18th. One investment analyst has rated the stock with a Buy rating, one has assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Reduce” and a consensus price target of $3.83.

Xerox Trading Down 12.0%

NASDAQ XRX opened at $1.47 on Friday. The firm’s fifty day moving average is $2.98 and its two-hundred day moving average is $2.53. Xerox has a one year low of $1.19 and a one year high of $3.78. The company has a debt-to-equity ratio of 12.58, a quick ratio of 0.85 and a current ratio of 1.14. The firm has a market cap of $192.38 million, a PE ratio of -0.16 and a beta of 2.45.

Xerox (NASDAQ:XRX) last issued its quarterly earnings results on Thursday, October 29th. The information technology services provider reported $0.02 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.07) by $0.09. The firm had revenue of $1.87 billion for the quarter. Xerox had a positive return on equity of 53.07% and a negative net margin of 15.40%. The business’s revenue was down 4.7% on a year-over-year basis. During the same quarter last year, the firm earned $0.20 EPS. Analysts expect that Xerox will post 0.17 earnings per share for the current year.

Xerox Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, October 30th. Investors of record on Wednesday, September 30th were paid a $0.0250 dividend. The ex-dividend date was Wednesday, September 30th. This represents a $0.10 dividend on an annualized basis and a dividend yield of 6.8%. Xerox’s payout ratio is -1.10%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of XRX. Paradigm Capital Management Inc. NY acquired a new stake in shares of Xerox in the second quarter valued at about $5,626,000. Renaissance Technologies LLC boosted its holdings in Xerox by 926.4% during the first quarter. Renaissance Technologies LLC now owns 645,624 shares of the information technology services provider’s stock worth $833,000 after buying an additional 582,724 shares in the last quarter. Squarepoint Ops LLC boosted its holdings in Xerox by 0.6% during the second quarter. Squarepoint Ops LLC now owns 584,825 shares of the information technology services provider’s stock worth $1,831,000 after buying an additional 3,689 shares in the last quarter. Gamco Investors INC. ET AL grew its position in Xerox by 1.8% during the first quarter. Gamco Investors INC. ET AL now owns 564,000 shares of the information technology services provider’s stock worth $728,000 after buying an additional 9,800 shares during the period. Finally, Bank of New York Mellon Corp acquired a new position in Xerox during the second quarter worth about $1,313,000. Institutional investors and hedge funds own 85.36% of the company’s stock.

Xerox News Summary

Here are the key news stories impacting Xerox this week:

• Positive Sentiment: Third-quarter results exceeded estimates. Xerox reported adjusted earnings of approximately $0.06 per share, versus consensus expectations for a $0.07 loss, while revenue of about $1.87 billion was broadly ahead of estimates. However, revenue still declined 4.7% from the prior year. Xerox Q3 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Debt-reduction measures provide some balance-sheet support. Xerox announced an exchange transaction covering roughly $174 million of 2028 senior notes, extending maturities to 2030 and reducing debt principal by about $53 million while preserving cash. Xerox Debt Exchange Transaction
• Neutral Sentiment: Strategic pressure is increasing. STARTEEPO, Xerox’s third-largest shareholder with a 7.34% stake in shares and options, supported debt-reduction efforts but urged the board to consider strategic alternatives for Xerox Financial Services and the broader company. STARTEEPO Comments on Xerox Results
• Negative Sentiment: Profit and cash-flow forecasts were reduced. Xerox lowered its 2026 adjusted operating-income outlook to approximately $450 million-$475 million, a reduction of up to $130 million only three months after raising guidance. The company also cut its free-cash-flow forecast, citing higher costs, weaker cash generation and other operating headwinds, although it maintained its full-year revenue outlook.
• Negative Sentiment: The dividend suspension and legal investigations worsen sentiment. Xerox’s board suspended its dividend as it prioritizes liquidity and debt reduction. Multiple law firms also announced investigations into whether investors received materially misleading information, adding potential legal and reputational risk. Rosen Xerox Investigation

Xerox Company Profile

Xerox Holdings Corporation (NASDAQ:XRX) is a technology and workplace solutions company that provides printing, document management and digital services to businesses and other organizations. The company serves customers across a range of industries, including government, education, healthcare, financial services and professional services.

Xerox offers office printers, multifunction devices, production printers and related supplies, software and support services. Its portfolio also includes document workflow and content-management solutions designed to help organizations digitize, automate and manage business processes.