Shah Capital Management Buys New Position in 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 bought a new position in shares of Xerox Holdings Co. (NYSE:XRX - Free Report) during the 1st quarter, according to its most recent 13F filing with the SEC. The fund bought 418,794 shares of the information technology services provider's stock, valued at approximately $2,023,000. Xerox makes up about 0.4% of Shah Capital Management's investment portfolio, making the stock its 16th largest position. Shah Capital Management owned approximately 0.33% of Xerox at the end of the most recent reporting period.

Other institutional investors also recently made changes to their positions in the company. PNC Financial Services Group Inc. boosted its position in shares of Xerox by 110.8% during the 1st quarter. PNC Financial Services Group Inc. now owns 5,539 shares of the information technology services provider's stock worth $27,000 after purchasing an additional 2,911 shares in the last quarter. Allworth Financial LP boosted its position in shares of Xerox by 137.7% during the 1st quarter. Allworth Financial LP now owns 6,014 shares of the information technology services provider's stock worth $29,000 after purchasing an additional 3,484 shares in the last quarter. Larson Financial Group LLC boosted its position in shares of Xerox by 331.8% during the 1st quarter. Larson Financial Group LLC now owns 6,507 shares of the information technology services provider's stock worth $31,000 after purchasing an additional 5,000 shares in the last quarter. GAMMA Investing LLC boosted its position in shares of Xerox by 569.7% during the 1st quarter. GAMMA Investing LLC now owns 7,045 shares of the information technology services provider's stock worth $34,000 after purchasing an additional 5,993 shares in the last quarter. Finally, Fox Run Management L.L.C. purchased a new stake in shares of Xerox during the 1st quarter worth $50,000. 85.36% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, Director A. Scott Letier bought 29,600 shares of the business's stock in a transaction that occurred on Friday, August 1st. The stock was purchased at an average price of $3.95 per share, with a total value of $116,920.00. Following the purchase, the director owned 58,984 shares of the company's stock, valued at $232,986.80. This trade represents a 100.74% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through this link. Insiders own 1.50% of the company's stock.

Analyst Ratings Changes

Separately, Citigroup initiated coverage on Xerox in a research note on Monday, August 18th. They set a "neutral" rating and a $4.50 price target for the company. One analyst has rated the stock with a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Sell" and a consensus target price of $6.83.

Xerox Price Performance

Shares of NYSE:XRX traded up $0.16 during midday trading on Friday, hitting $3.85. 4,876,671 shares of the stock were exchanged, compared to its average volume of 4,086,003. The stock has a market cap of $484.44 million, a P/E ratio of -0.36 and a beta of 1.79. The company has a current ratio of 1.11, a quick ratio of 0.84 and a debt-to-equity ratio of 2.61. Xerox Holdings Co. has a twelve month low of $3.44 and a twelve month high of $11.42. The company has a 50 day moving average price of $4.96 and a 200-day moving average price of $5.34.

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

Xerox Announces Dividend

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

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.