Xerox (NASDAQ:XRX) Rating Increased to Hold at Zacks Research

Zacks Research upgraded shares of Xerox (NASDAQ:XRX) from a strong sell rating to a hold rating in a research note released on Thursday,Zacks.com reports.

Several other research firms have also weighed in on XRX. Weiss Ratings reissued a “sell (d-)” rating on shares of Xerox in a research note on Monday. Citigroup reissued a “neutral” rating and set a $2.50 price objective (down from $3.50) on shares of Xerox in a research note on Friday, January 30th. Two analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Reduce” and an average target price of $2.50.

Xerox Price Performance

Shares of NASDAQ XRX traded up $0.45 during midday trading on Thursday, reaching $2.70. The company’s stock had a trading volume of 20,141,471 shares, compared to its average volume of 5,898,445. The company has a current ratio of 1.18, a quick ratio of 0.79 and a debt-to-equity ratio of 14.04. The company has a 50 day moving average price of $1.56 and a 200 day moving average price of $2.27. Xerox has a one year low of $1.19 and a one year high of $6.80. The company has a market cap of $353.11 million, a price-to-earnings ratio of -0.33 and a beta of 2.28.

Xerox (NASDAQ:XRX) last released its earnings results on Thursday, April 30th. The information technology services provider reported ($0.11) EPS for the quarter, topping analysts’ consensus estimates of ($0.20) by $0.09. Xerox had a negative net margin of 14.09% and a negative return on equity of 12.08%. The business had revenue of $1.85 billion for the quarter, compared to the consensus estimate of $1.78 billion. During the same period in the previous year, the firm earned ($0.06) EPS. The business’s revenue for the quarter was up 26.7% on a year-over-year basis. On average, equities research analysts expect that Xerox will post 0.29 EPS for the current year.

Xerox Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, April 30th. Stockholders of record on Tuesday, March 31st were paid a dividend of $0.025 per share. The ex-dividend date of this dividend was Tuesday, March 31st. This represents a $0.10 annualized dividend and a dividend yield of 3.7%. Xerox’s dividend payout ratio (DPR) is currently -1.22%.

Institutional Trading of Xerox

Several hedge funds and other institutional investors have recently modified their holdings of the business. SG Americas Securities LLC boosted its position in shares of Xerox by 172.3% in the first quarter. SG Americas Securities LLC now owns 105,390 shares of the information technology services provider’s stock worth $136,000 after buying an additional 66,688 shares during the period. Hsbc Holdings PLC boosted its position in shares of Xerox by 64.5% in the fourth quarter. Hsbc Holdings PLC now owns 71,044 shares of the information technology services provider’s stock worth $168,000 after buying an additional 27,848 shares during the period. S Harris Financial Group LLC acquired a new stake in shares of Xerox in the fourth quarter worth $25,000. Aristides Capital LLC acquired a new stake in shares of Xerox in the fourth quarter worth $181,000. Finally, Invesco Ltd. boosted its position in shares of Xerox by 12.6% in the fourth quarter. Invesco Ltd. now owns 450,416 shares of the information technology services provider’s stock worth $1,067,000 after buying an additional 50,550 shares during the period. Institutional investors and hedge funds own 85.36% of the company’s stock.

Trending Headlines about Xerox

Here are the key news stories impacting Xerox this week:

• Positive Sentiment: Q1 revenue and EPS vs. estimates: Xerox reported Q1 revenue of about $1.85B (up ~27% YoY) and reported EPS of -$0.11, beating consensus revenue and EPS estimates — a key near-term catalyst for the rally. Xerox Releases First-Quarter Results
• Positive Sentiment: Market reaction / momentum: Analysts and headlines highlighted the beat and CEO optimism, driving intraday gains and a breakout after weeks of being heavily shorted. News coverage points to the earnings beat and management tone as the main reasons for the surge. Why Xerox Stock Is Surging On Friday?
• Positive Sentiment: Short-squeeze and options activity: High short interest plus heavy call buying and unusual options flows amplified the move higher — traders report spikes in call volume and short-covering that accelerated the rally. Short Squeeze And Earnings
• Neutral Sentiment: Product/service update: Xerox launched “Xerox IT as a Service” targeting SMBs — a growth initiative that supports revenue diversification but will take time to scale. Xerox Launches Xerox IT as a Service
• Neutral Sentiment: Earnings detail and management commentary: The Q1 earnings transcript and slide deck show management is focused on stabilizing revenue, expanding adjusted operating margin and improving liquidity — useful for assessing sustainability of the recovery. Xerox (XRX) Q1 2026 Earnings Transcript
• Negative Sentiment: Profitability and leverage remain concerns: Xerox is still reporting negative net margins and remains highly leveraged (debt-to-equity is elevated), which limits upside unless operating profits improve. Xerox Reports Q1 Loss, Tops Revenue Estimates
• Negative Sentiment: Contrarian/options signals: Earlier spikes in put buying and very choppy, high-volume trading indicate continued volatility and the possibility of sharp reversals as shorts re-enter or momentum fades.

Xerox Company Profile

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.