Xerox Target of Unusually High Options Trading (XRX)

Xerox Corp (NYSE:XRX) was the target of unusually large options trading on Thursday. Traders purchased 20,933 call options on the company. This is an increase of 1,263% compared to the typical volume of 1,536 call options.

A number of equities research analysts have recently weighed in on the company. Zacks Investment Research raised Xerox from a “sell” rating to a “hold” rating in a report on Thursday, September 27th. JPMorgan Chase & Co. dropped their price target on Xerox from $38.00 to $35.00 and set a “hold” rating for the company in a research note on Friday, July 27th. Citigroup started coverage on Xerox in a research note on Friday, July 20th. They issued a “buy” rating and a $39.00 price target for the company. Standpoint Research raised Xerox from a “hold” rating to a “buy” rating in a research note on Tuesday, July 10th. Finally, ValuEngine downgraded Xerox from a “sell” rating to a “strong sell” rating in a research note on Tuesday, June 26th. One investment analyst has rated the stock with a sell rating, three have given a hold rating and four have given a buy rating to the company’s stock. Xerox currently has an average rating of “Hold” and an average target price of $35.90.

Xerox stock traded down $0.91 during midday trading on Friday, reaching $26.20. The company’s stock had a trading volume of 2,922,402 shares, compared to its average volume of 2,632,531. Xerox has a 52 week low of $23.52 and a 52 week high of $37.42. The company has a quick ratio of 1.50, a current ratio of 1.84 and a debt-to-equity ratio of 0.89. The stock has a market cap of $6.88 billion, a PE ratio of 7.53 and a beta of 1.27.

Xerox (NYSE:XRX) last released its earnings results on Thursday, July 26th. The information technology services provider reported $0.80 earnings per share (EPS) for the quarter, missing the Zacks’ consensus estimate of $0.83 by ($0.03). The business had revenue of $2.51 billion during the quarter, compared to the consensus estimate of $2.49 billion. Xerox had a net margin of 1.22% and a return on equity of 16.63%. The business’s revenue was down 2.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.87 EPS. As a group, analysts expect that Xerox will post 3.3 earnings per share for the current year.

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 31st. Stockholders of record on Friday, September 28th will be issued a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 3.82%. The ex-dividend date is Thursday, September 27th. Xerox’s dividend payout ratio (DPR) is currently 28.74%.

In other news, Chairman Keith Cozza bought 50,000 shares of the firm’s stock in a transaction that occurred on Friday, July 27th. The stock was acquired at an average cost of $25.42 per share, with a total value of $1,271,000.00. Following the completion of the purchase, the chairman now owns 50,000 shares of the company’s stock, valued at $1,271,000. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, insider Herve Tessler sold 16,567 shares of the firm’s stock in a transaction on Friday, August 3rd. The shares were sold at an average price of $26.03, for a total transaction of $431,239.01. Following the completion of the transaction, the insider now directly owns 34,647 shares of the company’s stock, valued at $901,861.41. The disclosure for this sale can be found here. 0.19% of the stock is currently owned by corporate insiders.

Several institutional investors have recently bought and sold shares of XRX. Sumitomo Mitsui Trust Holdings Inc. lifted its stake in shares of Xerox by 1.8% in the first quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 671,852 shares of the information technology services provider’s stock worth $19,336,000 after acquiring an additional 12,189 shares during the period. Mackay Shields LLC acquired a new position in shares of Xerox in the first quarter worth approximately $1,695,000. M&T Bank Corp lifted its stake in shares of Xerox by 14.2% in the first quarter. M&T Bank Corp now owns 17,600 shares of the information technology services provider’s stock worth $507,000 after acquiring an additional 2,188 shares during the period. State of Wisconsin Investment Board lifted its stake in shares of Xerox by 90.2% in the first quarter. State of Wisconsin Investment Board now owns 263,232 shares of the information technology services provider’s stock worth $7,576,000 after acquiring an additional 124,833 shares during the period. Finally, Schwab Charles Investment Management Inc. lifted its stake in shares of Xerox by 5.1% in the first quarter. Schwab Charles Investment Management Inc. now owns 1,312,281 shares of the information technology services provider’s stock worth $37,768,000 after acquiring an additional 63,801 shares during the period. 82.88% of the stock is currently owned by institutional investors.

About Xerox

Xerox Corporation designs, develops, and sells document management systems and solutions worldwide. It offers managed document services, including managed print services and multi-channel communication services, as well as a range of digital solutions, such as workflow automation services, content management, and digitization services.

Read More: Outstanding Shares and The Effect on Share Price

Receive News & Ratings for Xerox Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Xerox and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply