Zacks Research Issues Negative Forecast for Xerox Earnings

Xerox Holdings Co. (NASDAQ:XRX) – Research analysts at Zacks Research reduced their Q1 2026 earnings per share (EPS) estimates for shares of Xerox in a report released on Thursday, April 2nd. Zacks Research analyst Team now forecasts that the information technology services provider will post earnings per share of ($0.13) for the quarter, down from their prior estimate of ($0.01). Zacks Research currently has a “Strong Sell” rating on the stock. The consensus estimate for Xerox’s current full-year earnings is $1.07 per share. Zacks Research also issued estimates for Xerox’s FY2026 earnings at $0.48 EPS, Q2 2027 earnings at $0.13 EPS, Q3 2027 earnings at $0.28 EPS and FY2028 earnings at $1.04 EPS.

A number of other analysts have also recently commented on the company. Citigroup reaffirmed a “neutral” rating and set a $2.50 price target (down from $3.50) on shares of Xerox in a research report on Friday, January 30th. Weiss Ratings assumed coverage on Xerox in a research report on Wednesday, January 28th. They set a “sell (d-)” rating for the company. One investment analyst has rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, Xerox has an average rating of “Sell” and an average price target of $2.50.

Xerox Stock Up 3.3%

Shares of XRX stock opened at $1.27 on Tuesday. The stock’s fifty day moving average price is $1.74 and its 200 day moving average price is $2.50. Xerox has a 1-year low of $1.21 and a 1-year high of $6.80. The company has a debt-to-equity ratio of 8.94, a current ratio of 1.11 and a quick ratio of 0.79. The company has a market cap of $163.35 million, a price-to-earnings ratio of -0.15 and a beta of 1.80.

Xerox (NASDAQ:XRX) last announced its earnings results on Thursday, January 29th. The information technology services provider reported ($0.10) earnings per share for the quarter, missing the consensus estimate of $0.15 by ($0.25). Xerox had a negative return on equity of 8.26% and a negative net margin of 14.65%.The business had revenue of $2.03 billion for the quarter, compared to analysts’ expectations of $2.08 billion. During the same quarter last year, the firm earned $0.36 earnings per share. The firm’s quarterly revenue was up 25.7% compared to the same quarter last year.

Xerox Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, April 30th. Shareholders of record on Tuesday, March 31st will be given a dividend of $0.025 per share. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $0.10 dividend on an annualized basis and a yield of 7.9%. Xerox’s payout ratio is currently -1.22%.

Hedge Funds Weigh In On Xerox

Several institutional investors and hedge funds have recently modified their holdings of the stock. Hsbc Holdings PLC lifted its holdings in shares of Xerox by 64.5% in the 4th quarter. Hsbc Holdings PLC now owns 71,044 shares of the information technology services provider’s stock valued at $168,000 after buying an additional 27,848 shares during the period. S Harris Financial Group LLC acquired a new position in shares of Xerox in the 4th quarter valued at about $25,000. Aristides Capital LLC acquired a new position in shares of Xerox in the 4th quarter valued at about $181,000. Invesco Ltd. lifted its holdings in shares of Xerox by 12.6% in the 4th quarter. Invesco Ltd. now owns 450,416 shares of the information technology services provider’s stock valued at $1,067,000 after buying an additional 50,550 shares during the period. Finally, Empowered Funds LLC lifted its holdings in shares of Xerox by 10.2% in the 4th quarter. Empowered Funds LLC now owns 652,289 shares of the information technology services provider’s stock valued at $1,546,000 after buying an additional 60,195 shares during the period. Institutional investors and hedge funds own 85.36% of the company’s stock.

About Xerox

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.