Citigroup Begins Coverage on Xerox (NYSE:XRX)

Key Points

• Xerox has received a "neutral" rating from Citigroup, with a price target of $4.50, indicating a potential upside of approximately 11.94% from its current price.
• The company's recent quarterly earnings showed a loss of ($0.64) per share, missing consensus estimates significantly, as revenue was down 0.1% compared to the same quarter last year.
• Insider purchases have been notable, with CEO Steven John Bandrowczak acquiring 22,300 shares recently, increasing his holdings in Xerox and signaling confidence in the company's future.

Citigroup assumed coverage on shares of Xerox (NYSE:XRX - Get Free Report) in a report issued on Monday, Marketbeat Ratings reports. The firm set a "neutral" rating and a $4.50 price target on the information technology services provider's stock. Citigroup's target price would indicate a potential upside of 14.94% from the company's current price.

Xerox Stock Performance

XRX traded down $0.11 during midday trading on Monday, reaching $3.92. The company had a trading volume of 1,255,110 shares, compared to its average volume of 4,039,728. The business has a 50-day moving average of $5.13 and a two-hundred day moving average of $5.46. The company has a quick ratio of 0.84, a current ratio of 1.11 and a debt-to-equity ratio of 2.61. Xerox has a 1 year low of $3.44 and a 1 year high of $11.42. The company has a market cap of $492.62 million, a P/E ratio of -0.36 and a beta of 1.79.

Xerox (NYSE:XRX - Get Free Report) last issued its earnings results on Thursday, July 31st. The information technology services provider reported ($0.64) earnings per share 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%. During the same quarter in the prior year, the company posted $0.29 earnings per share. The business's quarterly revenue was down .1% on a year-over-year basis. As a group, equities research analysts predict that Xerox will post 1.07 earnings per share for the current fiscal year.

Insider Buying and Selling at Xerox

In other Xerox news, CFO Mirlanda Gecaj bought 10,000 shares of Xerox stock in a transaction dated Friday, May 23rd. The shares were purchased at an average cost of $4.41 per share, for a total transaction of $44,100.00. Following the acquisition, the chief financial officer directly owned 15,956 shares in the company, valued at approximately $70,365.96. This represents a 167.90% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Also, CEO Steven John Bandrowczak acquired 22,300 shares of the stock in a transaction dated Friday, May 23rd. The stock was bought at an average cost of $4.48 per share, with a total value of $99,904.00. Following the completion of the purchase, the chief executive officer directly owned 382,442 shares in the company, valued at approximately $1,713,340.16. The trade was a 6.19% increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last ninety days, insiders bought 117,079 shares of company stock valued at $502,045. 1.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On Xerox

Hedge funds have recently bought and sold shares of the business. PNC Financial Services Group Inc. boosted its stake in shares of Xerox by 110.8% during the first quarter. PNC Financial Services Group Inc. now owns 5,539 shares of the information technology services provider's stock valued at $27,000 after purchasing an additional 2,911 shares during the period. Spire Wealth Management purchased a new stake in Xerox in the 2nd quarter valued at about $31,000. TD Waterhouse Canada Inc. bought a new position in Xerox in the 4th quarter worth about $51,000. Allworth Financial LP increased its position in shares of Xerox by 137.7% during the first quarter. Allworth Financial LP now owns 6,014 shares of the information technology services provider's stock worth $29,000 after acquiring an additional 3,484 shares during the period. Finally, Thurston Springer Miller Herd & Titak Inc. bought a new stake in shares of Xerox during the second quarter valued at approximately $34,000. Institutional investors own 85.36% of the company's stock.

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.