2.3 USD
+0.11 (+5.02%)
At close: Feb 2, 2026
2.24 USD
-0.06 (-2.61%)
After Hours: 2/2/2026, 8:00:03 PM
We assign a fundamental rating of 2 out of 10 to XRX. XRX was compared to 34 industry peers in the Technology Hardware, Storage & Peripherals industry. Both the profitability and financial health of XRX have multiple concerns. XRX is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year XRX has reported negative net income.
- XRX had a positive operating cash flow in the past year.
- In the past 5 years XRX always reported negative net income.
- Of the past 5 years XRX 4 years had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of XRX (-9.84%) is comparable to the rest of the industry.
- XRX has a Return On Equity of -171.16%. This is in the lower half of the industry: XRX underperforms 64.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.84% | ||
| ROE | -171.16% | ||
| ROIC | N/A |
ROA(3y)-6.33%
ROA(5y)-4.27%
ROE(3y)-37.8%
ROE(5y)-24.09%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- XRX's Operating Margin has declined in the last couple of years.
- XRX has a Gross Margin of 27.61%. This is comparable to the rest of the industry: XRX outperforms 47.06% of its industry peers.
- XRX's Gross Margin has declined in the last couple of years.
- XRX does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 27.61% |
OM growth 3Y-20.2%
OM growth 5Y-27.38%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.91%
GM growth 5Y-4.79%
2. Health
2.1 Basic Checks
- XRX does not have a ROIC to compare to the WACC, probably because it is not profitable.
- There is no outstanding debt for XRX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- Based on the Altman-Z score of 1.04, we must say that XRX is in the distress zone and has some risk of bankruptcy.
- XRX's Altman-Z score of 1.04 is in line compared to the rest of the industry. XRX outperforms 50.00% of its industry peers.
- The Debt to FCF ratio of XRX is 15.57, which is on the high side as it means it would take XRX, 15.57 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 15.57, XRX perfoms like the industry average, outperforming 55.88% of the companies in the same industry.
- A Debt/Equity ratio of 7.00 is on the high side and indicates that XRX has dependencies on debt financing.
- XRX's Debt to Equity ratio of 7.00 is on the low side compared to the rest of the industry. XRX is outperformed by 67.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7 | ||
| Debt/FCF | 15.57 | ||
| Altman-Z | 1.04 |
ROIC/WACCN/A
WACC5.58%
2.3 Liquidity
- XRX has a Current Ratio of 1.10. This is a normal value and indicates that XRX is financially healthy and should not expect problems in meeting its short term obligations.
- XRX has a Current ratio of 1.10. This is comparable to the rest of the industry: XRX outperforms 41.18% of its industry peers.
- XRX has a Quick Ratio of 1.10. This is a bad value and indicates that XRX is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of XRX (0.77) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
- XRX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -162.50%.
EPS 1Y (TTM)-162.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-127.78%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%25.73%
3.2 Future
- XRX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 106.42% yearly.
- XRX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.13% yearly.
EPS Next Y279.5%
EPS Next 2Y106.42%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year11.05%
Revenue Next 2Y4.46%
Revenue Next 3Y-5.13%
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
- XRX reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- The Price/Forward Earnings ratio is 2.14, which indicates a rather cheap valuation of XRX.
- Based on the Price/Forward Earnings ratio, XRX is valued cheaper than 100.00% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.64. XRX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 2.14 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, XRX is valued a bit cheaper than the industry average as 73.53% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of XRX indicates a rather cheap valuation: XRX is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.04 | ||
| EV/EBITDA | 17.1 |
4.3 Compensation for Growth
- XRX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- XRX's earnings are expected to grow with 106.42% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y106.42%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.97%, XRX has a reasonable but not impressive dividend return.
- The stock price of XRX dropped by -24.84% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
- Compared to an average industry Dividend Yield of 0.68, XRX pays a better dividend. On top of this XRX pays more dividend than 97.06% of the companies listed in the same industry.
- XRX's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
5.2 History
- The dividend of XRX has a limited annual growth rate of 0.72%.
- XRX has been paying a dividend for at least 10 years, so it has a reliable track record.
- As XRX did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)0.72%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
- XRX has negative earnings and hence a negative payout ratio. The dividend may be in danger.
- The dividend of XRX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-9.99%
EPS Next 2Y106.42%
EPS Next 3YN/A
XEROX HOLDINGS CORP / XRX FAQ
What is the ChartMill fundamental rating of XEROX HOLDINGS CORP (XRX) stock?
ChartMill assigns a fundamental rating of 2 / 10 to XRX.
Can you provide the valuation status for XEROX HOLDINGS CORP?
ChartMill assigns a valuation rating of 6 / 10 to XEROX HOLDINGS CORP (XRX). This can be considered as Fairly Valued.
What is the profitability of XRX stock?
XEROX HOLDINGS CORP (XRX) has a profitability rating of 1 / 10.
What is the expected EPS growth for XEROX HOLDINGS CORP (XRX) stock?
The Earnings per Share (EPS) of XEROX HOLDINGS CORP (XRX) is expected to grow by 279.5% in the next year.