Shah Capital Management Buys Shares of 418,794 Xerox Holdings Co. $XRX

Key Points

• Shah Capital Management invested $2.02 million in Xerox Holdings Co., acquiring approximately 418,794 shares, making it the 16th largest holding in their portfolio.
• Xerox CEO and COO both recently purchased shares, increasing their ownership by 6.19% and 10.65%, respectively.
• Xerox has a current average price target of $6.83 with most analysts rating the stock as a "Sell".

Shah Capital Management acquired a new position in shares of Xerox Holdings Co. (NYSE:XRX - Free Report) in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm acquired 418,794 shares of the information technology services provider's stock, valued at approximately $2,023,000. Xerox accounts for about 0.4% of Shah Capital Management's portfolio, making the stock its 16th largest holding. Shah Capital Management owned approximately 0.33% of Xerox as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in the business. Federated Hermes Inc. raised its holdings in shares of Xerox by 2,035.4% in the 1st quarter. Federated Hermes Inc. now owns 3,682,002 shares of the information technology services provider's stock worth $17,784,000 after buying an additional 3,509,574 shares in the last quarter. Marshall Wace LLP grew its position in Xerox by 397.5% in the fourth quarter. Marshall Wace LLP now owns 1,378,215 shares of the information technology services provider's stock valued at $11,618,000 after acquiring an additional 1,101,171 shares during the period. Point72 Asset Management L.P. raised its stake in Xerox by 2,846.8% during the fourth quarter. Point72 Asset Management L.P. now owns 1,128,973 shares of the information technology services provider's stock worth $9,517,000 after acquiring an additional 1,090,661 shares in the last quarter. Nuveen LLC bought a new position in shares of Xerox during the first quarter valued at $4,765,000. Finally, Connor Clark & Lunn Investment Management Ltd. boosted its stake in shares of Xerox by 348.8% in the 1st quarter. Connor Clark & Lunn Investment Management Ltd. now owns 953,827 shares of the information technology services provider's stock valued at $4,607,000 after purchasing an additional 741,297 shares in the last quarter. Institutional investors own 85.36% of the company's stock.

Insider Activity

In other news, Director A. Scott Letier purchased 29,600 shares of the firm's stock in a transaction that occurred on Friday, August 1st. The shares were acquired at an average price of $3.95 per share, for a total transaction of $116,920.00. Following the completion of the acquisition, the director directly owned 58,984 shares in the company, valued at approximately $232,986.80. The trade was a 100.74% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 1.50% of the stock is owned by company insiders.

Xerox Price Performance

Shares of NYSE XRX traded up $0.0650 during trading on Monday, reaching $3.9150. The company had a trading volume of 1,403,396 shares, compared to its average volume of 4,068,616. Xerox Holdings Co. has a 52 week low of $3.44 and a 52 week high of $11.42. The business's 50 day moving average price is $4.96 and its 200-day moving average price is $5.30. The stock has a market cap of $492.62 million, a PE ratio of -0.36 and a beta of 1.79. The company has a debt-to-equity ratio of 2.61, a quick ratio of 0.84 and a current ratio of 1.11.

Xerox (NYSE:XRX - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The information technology services provider reported ($0.64) earnings per share for the quarter, missing analysts' consensus estimates of $0.07 by ($0.71). Xerox had a negative net margin of 21.24% and a positive return on equity of 7.57%. During the same quarter last year, the business posted $0.29 earnings per share. The firm's revenue for the quarter was down .1% compared to the same quarter last year. Xerox has set its FY 2025 guidance at EPS. Analysts expect that Xerox Holdings Co. will post 1.07 earnings per share for the current year.

Xerox Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, October 31st. Stockholders of record on Tuesday, September 30th will be given a dividend of $0.025 per share. The ex-dividend date is Tuesday, September 30th. This represents a $0.10 dividend on an annualized basis and a dividend yield of 2.6%. Xerox's payout ratio is presently -0.87%.

Wall Street Analyst Weigh In

Separately, Citigroup began coverage on shares of Xerox in a research report on Monday, August 18th. They set a "neutral" rating and a $4.50 target price for the company. One research analyst has rated the stock with a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, Xerox presently has an average rating of "Sell" and an average price target of $6.83.

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.