Traders Buy High Volume of Xerox Put Options (NYSE:XRX)

Xerox Holdings Co. (NYSE:XRX) was the target of unusually large options trading activity on Wednesday. Investors purchased 1,689 put options on the company. This is an increase of approximately 1,369% compared to the typical daily volume of 115 put options.

Xerox Price Performance

Shares of XRX stock opened at $10.01 on Friday. The business’s fifty day moving average is $12.10 and its 200 day moving average is $15.00. The stock has a market cap of $1.24 billion, a price-to-earnings ratio of -6.38 and a beta of 1.58. The company has a quick ratio of 1.13, a current ratio of 1.49 and a debt-to-equity ratio of 1.34. Xerox has a twelve month low of $9.51 and a twelve month high of $19.78.

Xerox (NYSE:XRX) last released its earnings results on Thursday, July 25th. The information technology services provider reported $0.29 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.14). Xerox had a negative net margin of 1.60% and a positive return on equity of 7.33%. The business had revenue of $1.58 billion for the quarter, compared to analysts’ expectations of $1.60 billion. During the same quarter in the previous year, the business posted $0.44 earnings per share. Xerox’s revenue for the quarter was down 10.0% on a year-over-year basis. Research analysts expect that Xerox will post 1.88 EPS for the current fiscal year.

Xerox Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 31st. Stockholders of record on Monday, September 30th will be paid a $0.25 dividend. The ex-dividend date of this dividend is Monday, September 30th. This represents a $1.00 annualized dividend and a dividend yield of 9.99%. Xerox’s dividend payout ratio is presently -63.69%.

Institutional Investors Weigh In On Xerox

A number of institutional investors have recently made changes to their positions in XRX. GAMMA Investing LLC purchased a new stake in Xerox during the 4th quarter valued at $25,000. Hexagon Capital Partners LLC boosted its position in shares of Xerox by 38.7% during the fourth quarter. Hexagon Capital Partners LLC now owns 2,257 shares of the information technology services provider’s stock valued at $41,000 after buying an additional 630 shares during the last quarter. CWM LLC increased its holdings in Xerox by 155.5% in the 2nd quarter. CWM LLC now owns 2,264 shares of the information technology services provider’s stock worth $26,000 after buying an additional 1,378 shares in the last quarter. EntryPoint Capital LLC purchased a new position in Xerox in the 1st quarter worth about $45,000. Finally, TFO Wealth Partners LLC lifted its stake in Xerox by 30,127.3% during the 4th quarter. TFO Wealth Partners LLC now owns 3,325 shares of the information technology services provider’s stock valued at $61,000 after acquiring an additional 3,314 shares during the period. Hedge funds and other institutional investors own 85.36% of the company’s stock.

Analysts Set New Price Targets

A number of research firms have commented on XRX. Citigroup began coverage on Xerox in a research report on Friday, June 28th. They set a “sell” rating and a $11.00 price target for the company. StockNews.com downgraded shares of Xerox from a “buy” rating to a “hold” rating in a research report on Thursday. Finally, JPMorgan Chase & Co. decreased their price target on shares of Xerox from $18.00 to $17.00 and set an “underweight” rating for the company in a research note on Wednesday, April 24th.

Xerox Company Profile

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.