Zacks Research Has Negative Outlook for Xerox Q3 Earnings

Xerox Holdings Co. (NASDAQ:XRX) – Equities research analysts at Zacks Research cut their Q3 2026 EPS estimates for shares of Xerox in a research report issued to clients and investors 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 previous 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.

Other analysts have also recently issued reports about the stock. Needham & Company LLC set a $5.00 target price on shares of Xerox in a research note on Tuesday, August 18th. Weiss Ratings reissued a “sell (d-)” rating on shares of Xerox in a research note on Friday, July 24th. Noble Financial started coverage on Xerox in a report on Tuesday, August 18th. They set an “outperform” rating and a $5.00 price objective on the stock. Finally, Citigroup reaffirmed a “neutral” rating and issued a $3.45 price objective (up from $2.50) on shares of Xerox in a research report on Friday, July 31st. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, Xerox presently has a consensus rating of “Hold” and an average price target of $4.48.

Xerox Stock Performance

NASDAQ:XRX opened at $2.95 on Monday. The company has a debt-to-equity ratio of 12.58, a current ratio of 1.18 and a quick ratio of 0.85. The firm has a market cap of $387.39 million, a PE ratio of -0.40 and a beta of 2.40. The firm has a 50 day simple moving average of $2.95 and a 200-day simple moving average of $2.40. Xerox has a 1-year low of $1.19 and a 1-year high of $4.27.

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

Institutional Trading of Xerox

Several institutional investors have recently made changes to their positions in the stock. S Harris Financial Group LLC acquired a new position in Xerox in the fourth quarter valued at $25,000. Captrust Financial Advisors acquired a new stake in Xerox during the second quarter worth about $58,000. Williams & Novak LLC acquired a new stake in Xerox during the fourth quarter worth about $27,000. Boothbay Fund Management LLC purchased a new position in shares of Xerox in the 3rd quarter worth about $43,000. Finally, Tower Research Capital LLC TRC raised its holdings in shares of Xerox by 189.8% in the 2nd quarter. Tower Research Capital LLC TRC now owns 11,990 shares of the information technology services provider’s stock worth $63,000 after purchasing an additional 7,852 shares during the period. 85.36% of the stock is owned by hedge funds and other institutional investors.

Xerox Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Wednesday, September 30th will be paid a dividend of $0.025 per share. The ex-dividend date of this dividend is Wednesday, September 30th. This represents a $0.10 dividend on an annualized basis and a yield of 3.4%. Xerox’s dividend payout ratio (DPR) is currently -1.36%.

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.