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

Xerox Holdings Co. (NYSE:XRX) was the target of some unusual options trading on Wednesday. Traders acquired 1,689 put options on the stock. This is an increase of 1,369% compared to the typical volume of 115 put options.

Xerox Stock Performance

Shares of XRX opened at $2.66 on Thursday. The stock has a market capitalization of $340.59 million, a P/E ratio of -0.25 and a beta of 1.80. The company has a debt-to-equity ratio of 2.61, a quick ratio of 0.84 and a current ratio of 1.11. Xerox has a 1 year low of $2.32 and a 1 year high of $9.91. The company’s fifty day moving average is $3.28 and its two-hundred day moving average is $4.27.

Xerox (NYSE:XRX) last issued its earnings results on Thursday, October 30th. The information technology services provider reported $0.20 earnings per share for the quarter, beating the consensus estimate of ($0.18) by $0.38. Xerox had a negative net margin of 21.24% and a positive return on equity of 7.57%. During the same period in the prior year, the business earned $0.25 EPS. The company’s revenue was up 28.3% compared to the same quarter last year. Xerox has set its FY 2025 guidance at EPS. On average, sell-side analysts predict that Xerox will post 1.07 earnings per share for the current year.

Xerox Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, January 30th. Shareholders of record on Wednesday, December 31st will be given a dividend of $0.025 per share. The ex-dividend date is Wednesday, December 31st. This represents a $0.10 annualized dividend and a yield of 3.8%. Xerox’s payout ratio is presently -1.28%.

Wall Street Analysts Forecast Growth

XRX has been the subject of several research reports. Zacks Research upgraded shares of Xerox from a “strong sell” rating to a “hold” rating in a research report on Wednesday, September 3rd. Citigroup dropped their price objective on shares of Xerox from $4.50 to $3.50 and set a “neutral” rating on the stock in a research note on Monday, November 10th. Two analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Xerox has an average rating of “Hold” and an average price target of $3.50.

Institutional Trading of Xerox

Several hedge funds have recently modified their holdings of XRX. Marshall Wace LLP raised its stake in shares of Xerox by 71.0% during the 2nd quarter. Marshall Wace LLP now owns 3,928,444 shares of the information technology services provider’s stock worth $20,703,000 after buying an additional 1,630,999 shares during the last quarter. Federated Hermes Inc. increased its holdings in Xerox by 2,035.4% during the 1st quarter. Federated Hermes Inc. now owns 3,682,002 shares of the information technology services provider’s stock valued at $17,784,000 after acquiring an additional 3,509,574 shares in the last quarter. Two Sigma Investments LP lifted its holdings in shares of Xerox by 43.2% in the third quarter. Two Sigma Investments LP now owns 2,476,689 shares of the information technology services provider’s stock valued at $9,312,000 after purchasing an additional 746,582 shares in the last quarter. Charles Schwab Investment Management Inc. grew its position in shares of Xerox by 14.0% in the first quarter. Charles Schwab Investment Management Inc. now owns 2,066,576 shares of the information technology services provider’s stock valued at $9,982,000 after purchasing an additional 254,474 shares during the last quarter. Finally, Invesco Ltd. increased its stake in shares of Xerox by 3.4% during the 2nd quarter. Invesco Ltd. now owns 1,898,380 shares of the information technology services provider’s stock worth $10,004,000 after purchasing an additional 61,723 shares in the last quarter. 85.36% of the stock is owned by institutional investors and hedge funds.

About Xerox

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.