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XRX

Xerox Faces Headwinds in Q4 2023, CEO Prioritizes Simplification Xerox Holdings Corp (NASDAQ: NASDAQ:XRX ) recently faced a challenging fourth quarter in 2023, marked by a 9.1% year-on-year decline in sales to $1.77 billion, falling short of the consensus estimate of $1.79 billion. The disappointing performance led to a drop in the company's stock as investors digested the numbers. Despite the hurdles, CEO Steve Bandrowczak remains optimistic, emphasizing the strategic importance of simplifying the business structure for long-term gains. Sales and Earnings Overview: The fiscal Q4 2023 saw Xerox's ( NASDAQ:XRX ) revenues decline by 10.6% at constant currency, with adjusted earnings per share (EPS) coming in at $0.43, missing the analyst consensus of $0.52. Equipment sales took a hit, dropping by 17.3%, while post-sale revenue experienced a 5.8% decline. Gross margin fell by 130 basis points year-on-year to 33.5%, with equipment margin showing a contrasting increase of 80 bps to 32.4%. Post-sale margin, however, declined by 210 bps to 34.0%. Strategic Business Simplification: Despite the revenue challenges, CEO Steve Bandrowczak highlighted the positive impact of steps taken to simplify Xerox's ( NASDAQ:XRX ) business structure. This strategic move resulted in a 170 basis points expansion in adjusted operating margin. Bandrowczak underscored the importance of these structural changes, emphasizing the need for the company to adapt and evolve to meet the demands of a dynamic market. Operational Efficiency and Productivity Gains: To counter the revenue dip, Xerox ( NASDAQ:XRX ) is focusing on stabilizing and strengthening its core Print business. The company aims to drive enterprise-wide efficiency and productivity gains through its new Global Business Services organization. This initiative reflects Xerox's ( NASDAQ:XRX ) commitment to staying agile in a rapidly changing business landscape and ensuring its operations are streamlined for future growth. Future Outlook and Guidance: Looking ahead to fiscal year 2024, Xerox ( NASDAQ:XRX ) expects revenue in the range of $6.54 billion to $6.68 billion, slightly below the consensus estimate of $6.71 billion. The company projects a free cash flow guidance of at least $600 million, indicating confidence in its ability to generate cash despite the challenging market conditions. Xerox ( NASDAQ:XRX ) anticipates an adjusted operating margin of at least 7.5%, signaling its commitment to achieving sustainable profitability. Conclusion: While Xerox ( NASDAQ:XRX ) faced headwinds in the fourth quarter of 2023, CEO Steve Bandrowczak's strategic vision and focus on business simplification provide a roadmap for future success. The company's commitment to operational efficiency, productivity gains, and capturing opportunities in Digital and IT Services reflects a forward-looking approach. Investors will be watching closely as Xerox ( NASDAQ:XRX ) navigates the evolving landscape, seeking signs of resilience and growth in the face of industry challenges.
NASDAQ:XRXLong
by DEXWireNews
Xerox Holdings Corp. (NASDAQ: $XRX) Facing Strong Resistance NASDAQ:XRX stock is facing a strong resistance at $18.36, which is the 52-week high and the upper boundary of a descending triangle pattern. NASDAQ:XRX stock is below its 50-day and 200-day moving averages of $18.36 and $18.45, respectively. The moving averages are also sloping downward, indicating a negative momentum. NASDAQ:XRX has a low trading volume, which suggests a lack of interest and conviction among the traders and investors. The average volume for the past 10 days is $1.82 million, while the accumulated volume for today is $16.93 million. NASDAQ:XRX may test multiple Support level's before reaching new highs.
NASDAQ:XRXLong
by DEXWireNews
XRX, enters a monthly bullish trend. Expect Uptrend continuationXerox Holdings Corp (XRX, $18.77) is predicted by Tickeron A.I.dvisor to grow by 4% to $19.52 or more within the next month. Keeping in mind similar previously-analyzed scenarios where the stock trended up during the month, the odds of an Uptrend continuation are 80%. Current price $18.63 crossed the resistance line at $18.63 and is trading between $18.63 resistance and $18.38 support lines. Throughout the month of 08/28/20 - 09/30/20, the price experienced a -3% Downtrend, while the week of 09/23/20 - 09/30/20 shows a +7% Uptrend. Bullish Trend Analysis The Stochastic Indicator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. Tickeron A.I. detected that in 40 of 60 cases where XRX's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 81%. XRX moved above its 50-day Moving Average on September 25, 2020 date and that indicates a change from a downward trend to an upward trend. The 10-day Moving Average for XRX crossed bullishly above the 50-day moving average on August 11, 2020. This indicates that the trend has shifted higher and could be considered a buy signal. Tickeron A.I. detected that in 9 of 16 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 56%. Following a +2.40% 3-day Advance, the price is estimated to grow further. Considering data from situations where XRX advanced for three days, in 193 of 305 cases, the price rose further within the following month. The odds of a continued upward trend are 63%.
XLong
by AlTorress