|Over a week ago|
Icahn buys Bausch Health, boosts stake in Xerox » 17:1302/1202/12/21
BHC, DAN, IEP, XRX, TEN, LNG, OXY, CVI, HLF
Carl Icahn's Icahn…
Carl Icahn's Icahn Capital disclosed in an SEC filing its holdings as of December 31, 2020. Icahn's two new buys during the fourth quarter included, by size of position, Bausch Health (BHC) and Dana Inc. (DAN). The fund increased its stake in two holdings, namely Icahn Enterprises (IEP) and Xerox (XRX). Icahn reduced its stake two holdings, namely Tenneco Class A (TEN) and Cheniere Energy (LNG). The fund's top holdings as of December 31, in order of size, were Icahn Enterprises, Occidental Petroleum (OXY), CVR Energy (CVI), Herbalife Nutrition (HLF), and Cheniere Energy.
Fly Intel: Top five analyst downgrades » 09:5402/0402/04/21
QCOM, VIAC, XRX, SPWR, BPY
Catch up on today's…
Catch up on today's top five analyst downgrades with this list compiled by The Fly: 1. Qualcomm (QCOM) downgraded to Neutral from Buy at Citi with analyst Christopher Danely saying he believes the 5G upside for Qualcomm "is over" and expects more instances of downside as the year progresses. 2. ViacomCBS (VIAC) downgraded to Sell from Hold at Deutsche Bank with analyst Bryan Kraft citing valuation. 3. Xerox (XRX) downgraded to Underweight from Equal Weight at Morgan Stanley with analyst Katy Huberty saying Xerox, like many hardware peers, faces a shrinking end market and a need to invest in new categories to drive long-term growth. 4. SunPower (SPWR) downgraded to Underweight from Equal Weight at Morgan Stanley with analyst Stephen Byrd sating the stock, after having outperformed solar installer and equipment stocks by 120%-200% over the last 3 months, trades at a significant premium to peers despite a lower revenue growth and EBITDA margin outlook. 5. Brookfield Property (BPY) downgraded to Sector Perform from Outperform at Scotiabank with analyst Mario Saric citing valuation. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.
Morgan Stanley cuts Xerox to Underweight, sees need to invest limiting earnings » 08:0102/0402/04/21
As previously reported,…
As previously reported, Morgan Stanley analyst Katy Huberty downgraded Xerox to Underweight from Equal Weight with a price target of $18, down from $20. Xerox, like many hardware peers, faces a shrinking end market and a need to invest in new categories to drive long-term growth, argues Huberty, who thinks making long-term investments would depress earnings and likely limit share price upside. Given the "conundrum" faced by Xerox, she believes the stock should trade in-line with "more challenged" enterprise hardware peers, Huberty said.
Xerox downgraded to Underweight from Equal Weight at Morgan Stanley » 06:2602/0402/04/21
Morgan Stanley analyst…
Morgan Stanley analyst Katy Huberty downgraded Xerox to Underweight from Equal Weight with an $18 price target.
Xerox creates Software, Financing, and Innovation businesses » 12:0202/0102/01/21
Xerox announced organizational changes to support plans to create three new businesses - Software, Financing and Innovation - aimed at delivering long-term growth in 2021 and beyond. Nicole Torraco has been promoted to senior vice president, Xerox Financial Services, to lead Xerox's financing business, reporting directly to Visentin. Torraco previously served as chief strategy and M&A officer. Sam Waicberg will lead the Software business as vice president and general manager of Digital Services, reporting to President and Chief Operations Officer Steve Bandrowczak. Sam joined Xerox with the recent acquisition of CareAR, an augmented reality support platform company, where he was co-founder and CEO. Naresh Shanker, senior vice president and chief technology officer, will lead the PARC Innovation business. Xerox has made progress advancing new technology in recent years with products including 3D liquid metal and industrial IoT products, cleantech technology, signing clients and generating strong commercial interest. PARC will include the scientists and engineers located in Palo Alto, Calif.; Webster, N.Y.; Cary, N.C., and Toronto to create an innovation business that drives the commercialization of Xerox's developing disruptive technology. Executive Vice President Louie Pastor has been appointed chief corporate development officer and chief legal officer. In addition to overseeing Xerox's legal organization, Pastor will lead a new Corporate Development group responsible for sourcing, evaluating, and executing M&A opportunities and venture investments, including the company's recently announced $250M corporate venture capital fund.
|Over a month ago|
Xerox acquires CareAR, terms undisclosed » 09:0501/2801/28/21
Xerox has expanded its…
Xerox has expanded its software portfolio with the acquisition of CareAR, an augmented reality support platform company that provides real-time access to expertise for customers, employees, and field workers.
Xerox downgraded to Neutral from Outperform at Credit Suisse » 16:4301/2601/26/21
Credit Suisse analyst…
Credit Suisse analyst Matthew Cabral downgraded Xerox to Neutral from Outperform with a price target of $20, down from $23. The company reported "mixed" Q4 results as its underlying trajectory modestly improved in the early part of the quarter before momentum faded due to renewed global lockdowns in November-December, the analyst tells investors in a research note. Cabral adds that while Xerox's operating marging improved sequentially on better revenue leverage, it was still down about 5bps from last year.
Xerox sees FY21 revenue $7.2B, consensus $7.04B » 06:3201/2601/26/21
Despite the high-level of…
Despite the high-level of economic uncertainty, the company expects continued progress on its strategic initiatives as projected in its 2021 financial guidance. Sees FY21 revenue of at least $7.2B in constant currency or approximately 2.5% growth. Sees FY21 operating cash flow from continuing operations of at least $600M and free cash flow of at least $500M.
Xerox reports Q4 adjusted EPS 58c, consensus 60c » 06:3101/2601/26/21
Reports Q4 revenue…
Reports Q4 revenue $1.930B, consensus $1.9B. "Times of adversity require working in unison, and I couldn't be prouder of the way our team came together. We put our strategy to the test in 2020, delivering positive earnings per share and free cash flow, while returning capital to shareholders and continuing to invest in our future. The team's discipline allowed us to turn on a dime, tightly controlling expenses while steadfastly supporting clients," said Xerox Vice Chairman and CEO John Visentin. "Though the impact of the pandemic continues in 2021, we expect to return to growth this year as we increase the breadth of offerings and reach new customers in existing and new businesses."
Xerox downgraded to Sell at Cross Research on work from home headwinds » 10:4801/1901/19/21
Cross Research analyst…
Cross Research analyst Shannon Cross downgraded Xerox to Sell from Hold with a $17 price target citing expectations for continued margin pressure from work from home headwinds, stating that lock downs in Germany, the UK, France and other regions point to an even slower return to offices and prolonged pressure on page volumes. Xerox benefited in 2020 from several one-time actions that will reverse in 2021, including government assistance payments, lower royalties from Fuji Xerox, a restart of employee benefit programs and lower employee healthcare expenses, added Cross.