2.67 USD
-0.03 (-1.11%)
2.6799 USD
+0.01 (+0.37%)
We assign a fundamental rating of 3 out of 10 to XRX. XRX was compared to 35 industry peers in the Technology Hardware, Storage & Peripherals industry. XRX has a bad profitability rating. Also its financial health evaluation is rather negative. XRX is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
XRX had negative earnings in the past year.
XRX had a positive operating cash flow in the past year.
XRX had negative earnings in 4 of the past 5 years.
XRX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -9.84%, XRX perfoms like the industry average, outperforming 45.71% of the companies in the same industry.
XRX has a worse Return On Equity (-171.16%) than 65.71% 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
In the last couple of years the Operating Margin of XRX has declined.
XRX has a Gross Margin (27.61%) which is in line with 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.
XRX has more shares outstanding than it did 1 year ago.
The number of shares outstanding for XRX has been reduced compared to 5 years ago.
The debt/assets ratio for XRX is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.05, we must say that XRX is in the distress zone and has some risk of bankruptcy.
XRX's Altman-Z score of 1.05 is in line compared to the rest of the industry. XRX outperforms 45.71% of its industry peers.
XRX has a debt to FCF ratio of 15.57. This is a negative value and a sign of low solvency as XRX would need 15.57 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 15.57, XRX is in line with its industry, outperforming 54.29% 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 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7 | ||
| Debt/FCF | 15.57 | ||
| Altman-Z | 1.05 |
ROIC/WACCN/A
WACC5.61%
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's Current ratio of 1.10 is on the low side compared to the rest of the industry. XRX is outperformed by 60.00% 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.
With a Quick ratio value of 0.77, XRX perfoms like the industry average, outperforming 48.57% of the companies in the same 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 -113.59%.
XRX shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -25.94% yearly.
The Revenue has been growing slightly by 3.67% in the past year.
The Revenue has been decreasing by -7.26% on average over the past years.
EPS 1Y (TTM)-113.59%
EPS 3Y-14.01%
EPS 5Y-25.94%
EPS Q2Q%-20%
Revenue 1Y (TTM)3.67%
Revenue growth 3Y-4.03%
Revenue growth 5Y-7.26%
Sales Q2Q%28.34%
3.2 Future
Based on estimates for the next years, XRX will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.77% on average per year.
XRX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.46% yearly.
EPS Next Y-59.39%
EPS Next 2Y11.72%
EPS Next 3Y8.77%
EPS Next 5YN/A
Revenue Next Year11.91%
Revenue Next 2Y10.09%
Revenue Next 3Y5.67%
Revenue Next 5Y-0.46%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for XRX. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 2.23, the valuation of XRX can be described as very cheap.
97.14% of the companies in the same industry are more expensive than XRX, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of XRX to the average of the S&P500 Index (23.68), we can say XRX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 2.23 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of XRX indicates a somewhat cheap valuation: XRX is cheaper than 74.29% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, XRX is valued cheaper than 97.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.21 | ||
| EV/EBITDA | 17.37 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.72%
EPS Next 3Y8.77%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.13%, XRX has a reasonable but not impressive dividend return.
In the last 3 months the price of XRX has falen by -34.88%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 0.55, XRX pays a better dividend. On top of this XRX pays more dividend than 97.14% 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 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
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.
XRX has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)0.72%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
The earnings of XRX are negative and hence is the payout ratio. XRX will probably not be able to sustain this dividend level.
The dividend of XRX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-9.99%
EPS Next 2Y11.72%
EPS Next 3Y8.77%
2.67
-0.03 (-1.11%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners82.6%
Inst Owner Change-13.25%
Ins Owners7.6%
Ins Owner Change0.04%
Market Cap341.87M
Revenue(TTM)6.61B
Net Income(TTM)-991.00M
Analysts46
Price Target7.62 (185.39%)
Short Float %21.67%
Short Ratio6.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
Yearly Dividend1.14
Dividend Growth(5Y)0.72%
DP-9.99%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-416.19%
Min EPS beat(2)-892.08%
Max EPS beat(2)59.69%
EPS beat(4)1
Avg EPS beat(4)-240.68%
Min EPS beat(4)-892.08%
Max EPS beat(4)59.69%
EPS beat(8)1
Avg EPS beat(8)-143.49%
EPS beat(12)5
Avg EPS beat(12)-67.93%
EPS beat(16)7
Avg EPS beat(16)-62.02%
Revenue beat(2)1
Avg Revenue beat(2)-1.83%
Min Revenue beat(2)-4.62%
Max Revenue beat(2)0.96%
Revenue beat(4)2
Avg Revenue beat(4)-1.43%
Min Revenue beat(4)-4.62%
Max Revenue beat(4)1.64%
Revenue beat(8)2
Avg Revenue beat(8)-2.56%
Revenue beat(12)3
Avg Revenue beat(12)-2.15%
Revenue beat(16)4
Avg Revenue beat(16)-1.97%
PT rev (1m)-4.27%
PT rev (3m)-4.27%
EPS NQ rev (1m)6.7%
EPS NQ rev (3m)3.24%
EPS NY rev (1m)82.08%
EPS NY rev (3m)-24.46%
Revenue NQ rev (1m)-1.77%
Revenue NQ rev (3m)7.04%
Revenue NY rev (1m)-0.74%
Revenue NY rev (3m)2.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 2.23 | ||
| P/S | 0.05 | ||
| P/FCF | 1.21 | ||
| P/OCF | 0.93 | ||
| P/B | 0.59 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.37 |
EPS(TTM)-0.14
EYN/A
EPS(NY)1.2
Fwd EY44.88%
FCF(TTM)2.21
FCFY82.78%
OCF(TTM)2.87
OCFY107.35%
SpS51.6
BVpS4.52
TBVpS-19.97
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.84% | ||
| ROE | -171.16% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 27.61% | ||
| FCFM | 4.28% |
ROA(3y)-6.33%
ROA(5y)-4.27%
ROE(3y)-37.8%
ROE(5y)-24.09%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)3.38%
ROCE(5y)3.56%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
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%
F-Score4
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7 | ||
| Debt/FCF | 15.57 | ||
| Debt/EBITDA | 16.47 | ||
| Cap/Depr | 26.17% | ||
| Cap/Sales | 1.27% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 149.19% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 1.05 |
F-Score4
WACC5.61%
ROIC/WACCN/A
Cap/Depr(3y)17.3%
Cap/Depr(5y)18.56%
Cap/Sales(3y)0.68%
Cap/Sales(5y)0.81%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-113.59%
EPS 3Y-14.01%
EPS 5Y-25.94%
EPS Q2Q%-20%
EPS Next Y-59.39%
EPS Next 2Y11.72%
EPS Next 3Y8.77%
EPS Next 5YN/A
Revenue 1Y (TTM)3.67%
Revenue growth 3Y-4.03%
Revenue growth 5Y-7.26%
Sales Q2Q%28.34%
Revenue Next Year11.91%
Revenue Next 2Y10.09%
Revenue Next 3Y5.67%
Revenue Next 5Y-0.46%
EBIT growth 1Y-135.71%
EBIT growth 3Y-23.42%
EBIT growth 5Y-32.65%
EBIT Next Year67.35%
EBIT Next 3Y34.05%
EBIT Next 5Y20.31%
FCF growth 1Y-35.39%
FCF growth 3Y-5.93%
FCF growth 5Y-18.11%
OCF growth 1Y-24.02%
OCF growth 3Y-6.69%
OCF growth 5Y-17.45%
XEROX HOLDINGS CORP / XRX FAQ
What is the ChartMill fundamental rating of XEROX HOLDINGS CORP (XRX) stock?
ChartMill assigns a fundamental rating of 3 / 10 to XRX.
What is the valuation status for XRX stock?
ChartMill assigns a valuation rating of 5 / 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 2 / 10.
Can you provide the financial health for XRX stock?
The financial health rating of XEROX HOLDINGS CORP (XRX) is 2 / 10.
Can you provide the dividend sustainability for XRX stock?
The dividend rating of XEROX HOLDINGS CORP (XRX) is 6 / 10 and the dividend payout ratio is -9.99%.