Xerox Corp (NYSE:XRX) updated its FY15 earnings guidance on Friday.
Advertisement
The Norwalk, Connecticut-based company said it had profits of 1 cent per share.
For the third quarter, Xerox expects GAAP earnings of $0.17 to $0.19 per share and adjusted EPS of $0.22 to $0.24 per share. No analyst rates it a “Sell”. Thomson Reuters had a consensus analyst price target of around $13.50 before the report. Previously, the analysts had a Neutral rating on the shares. The 12-month consensus mean price target for the shares is $75.79, suggesting a 7.47% return potential over their last closing price of $70.52.
Xerox Corporation (NYSE:XRX): On Wednesday heightened volatility was witnessed in Xerox Corporation (NYSE:XRX) which led to swings in the share price.
In terms of price targets, sell-side brokerage firms are projecting that the stock will reach the range of $13-15. The company has a market cap of $11.91 billion and a P/E ratio of 14.11.
Xerox (NYSE:XRX) announced today second-quarter 2015 adjusted earnings per share of 22 cents.
In 2QFY15, the company reported an EPS of $0.77 and topped the consensus estimates of $0.74. The portion of revenue linked to the company’s services business, which accounts for a little more than half of total revenue, was $2.6 billion, down 3% from a year ago. During the same quarter in the prior year, the company posted $0.27 earnings per share. On a constant currency basis, it was up 1 percent.
The company also recently declared a quarterly dividend, which will be paid on Friday, October 30th.
AbbVie shares ticked up 0.70% to reach $71.02 as of 7:59 PM EDT Thursday.
“Xerox for me is a work in progress because they are fixing their services business while continuing to garner significant amount of cash out of the printing business”, Cross said.
Xerox, like rival printer/copier makers Lexmark global Inc and Hewlett-Packard Co, is shifting its focus to high-value software and service businesses as corporate customers reduce printing to cut costs and consumers shift to mobile devices. This includes services which support all enterprises through offerings, such as customer care, finance and accounting and human resources, as well as vertically focused offerings in areas, such as healthcare, transportation, retail and telecommunications, among others. Document Technology margin was 12.1 percent, down 2.3 percentage points.
Advertisement
Services business revenue, which makes up 56 percent of total revenue dropped 3 percent. The Document Technology segment is centered on strategic product groups, which share common technology, manufacturing and product platforms.
