Short Interest in Xerox Holdings Co. (NYSE:XRX) Expands By 79,609.1%

Key Points

• Xerox experienced a dramatic increase in short interest, with shares sold short rising by 79,609.1% in July, leading to a total of 21,920,000 shares.
• The company's stock dropped 2.3% to $3.96, with a significant debt-to-equity ratio of 2.61 and a current ratio of 1.11.
• Xerox's quarterly earnings report showed a loss of ($0.64) per share, missing analysts' estimates, while its revenue declined by 0.1% year-over-year.

Xerox Holdings Co. (NYSE:XRX - Get Free Report) was the recipient of a large increase in short interest in the month of July. As of July 15th, there was short interest totaling 21,920,000 shares, anincreaseof79,609.1% from the June 30th total of 27,500 shares. Based on an average daily volume of 3,940,000 shares, the short-interest ratio is presently 5.6 days. Approximately18.9% of the company's shares are sold short. Approximately18.9% of the company's shares are sold short. Based on an average daily volume of 3,940,000 shares, the short-interest ratio is presently 5.6 days.

Xerox Stock Performance

NYSE XRX traded up $0.23 during trading hours on Monday, hitting $4.17. 1,090,055 shares of the company's stock traded hands, compared to its average volume of 4,058,026. The business's fifty day moving average price is $5.27 and its two-hundred day moving average price is $5.82. The company has a current ratio of 1.11, a quick ratio of 0.84 and a debt-to-equity ratio of 2.61. The firm has a market capitalization of $523.92 million, a P/E ratio of -0.39 and a beta of 1.82. Xerox has a 52 week low of $3.44 and a 52 week high of $11.42.

Xerox (NYSE:XRX - Get Free Report) last posted 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 positive return on equity of 7.57% and a negative net margin of 21.24%. Xerox's quarterly revenue was down .1% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.29 earnings per share. Equities research analysts predict that Xerox will post 1.07 EPS for the current year.

Xerox Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, July 31st. Shareholders of record on Monday, June 30th were given a $0.025 dividend. This represents a $0.10 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date was Monday, June 30th. Xerox's dividend payout ratio is presently -0.87%.

Insider Activity at Xerox

In related news, CEO Steven John Bandrowczak bought 22,300 shares of the company's stock in a transaction dated Friday, May 23rd. The stock was purchased at an average cost of $4.48 per share, with a total value of $99,904.00. Following the transaction, the chief executive officer owned 382,442 shares in the company, valued at approximately $1,713,340.16. This trade represents a 6.19% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO John G. Bruno purchased 25,000 shares of the stock in a transaction that occurred on Friday, May 23rd. The shares were acquired at an average cost of $4.38 per share, with a total value of $109,500.00. Following the completion of the transaction, the chief operating officer owned 259,775 shares in the company, valued at $1,137,814.50. This trade represents a 10.65% increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last 90 days, insiders bought 82,300 shares of company stock valued at $364,254. 1.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Xerox

A number of hedge funds have recently modified their holdings of the company. Spire Wealth Management bought a new position in shares of Xerox in the second quarter worth approximately $31,000. Envestnet Asset Management Inc. bought a new position in shares of Xerox in the second quarter worth approximately $314,000. Cidel Asset Management Inc. purchased a new position in shares of Xerox in the second quarter worth $57,000. Allianz Asset Management GmbH lifted its holdings in shares of Xerox by 19.2% in the second quarter. Allianz Asset Management GmbH now owns 1,670,011 shares of the information technology services provider's stock worth $8,801,000 after buying an additional 268,469 shares in the last quarter. Finally, Vest Financial LLC lifted its holdings in shares of Xerox by 42.3% in the second quarter. Vest Financial LLC now owns 32,635 shares of the information technology services provider's stock worth $172,000 after buying an additional 9,694 shares in the last quarter. 85.36% of the stock is currently owned by institutional investors.

About Xerox

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.