XRX Valuation

Xerox Holdings Corp

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3.690

-0.13(-3.403%)1D

Overview
Forecast
Valuation
Earnings

XRX Relative Valuation

XRX's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, XRX is overvalued; if below, it's undervalued.

Historical Valuation

Xerox Holdings Corp (XRX) is now in the Undervalued zone, suggesting that its current forward PE ratio of 4.40 is considered Undervalued compared with the five-year average of 10.56. The fair price of Xerox Holdings Corp (XRX) is between 8.49 to 16.19 according to relative valuation methord. Compared to the current price of 3.69 USD , Xerox Holdings Corp is Undervalued By 56.56%.

Relative Value

Fair Zone

8.49-16.19

Current Price：3.69

56.56%

Undervalued

4.40

Trailing

Forward

5.79

EV/EBITDA

Xerox Holdings Corp. (XRX) has a current EV/EBITDA of 5.79. The 5-year average EV/EBITDA is 8.30. The thresholds are as follows: Strongly Undervalued below 4.90, Undervalued between 4.90 and 6.60, Fairly Valued between 10.01 and 6.60, Overvalued between 10.01 and 11.71, and Strongly Overvalued above 11.71. The current Forward EV/EBITDA of 5.79 falls within the Undervalued range.

8.67

EV/EBIT

Xerox Holdings Corp. (XRX) has a current EV/EBIT of 8.67. The 5-year average EV/EBIT is 13.94. The thresholds are as follows: Strongly Undervalued below 4.92, Undervalued between 4.92 and 9.43, Fairly Valued between 18.45 and 9.43, Overvalued between 18.45 and 22.97, and Strongly Overvalued above 22.97. The current Forward EV/EBIT of 8.67 falls within the Undervalued range.

0.06

Xerox Holdings Corp. (XRX) has a current PS of 0.06. The 5-year average PS is 0.38. The thresholds are as follows: Strongly Undervalued below 0.03, Undervalued between 0.03 and 0.20, Fairly Valued between 0.55 and 0.20, Overvalued between 0.55 and 0.72, and Strongly Overvalued above 0.72. The current Forward PS of 0.06 falls within the Undervalued range.

1.09

P/OCF

Xerox Holdings Corp. (XRX) has a current P/OCF of 1.09. The 5-year average P/OCF is 4.68. The thresholds are as follows: Strongly Undervalued below -2.02, Undervalued between -2.02 and 1.33, Fairly Valued between 8.04 and 1.33, Overvalued between 8.04 and 11.39, and Strongly Overvalued above 11.39. The current Forward P/OCF of 1.09 falls within the Undervalued range.

1.26

P/FCF

Xerox Holdings Corp. (XRX) has a current P/FCF of 1.26. The 5-year average P/FCF is 5.44. The thresholds are as follows: Strongly Undervalued below -2.52, Undervalued between -2.52 and 1.46, Fairly Valued between 9.42 and 1.46, Overvalued between 9.42 and 13.41, and Strongly Overvalued above 13.41. The current Forward P/FCF of 1.26 falls within the Undervalued range.

Xerox Holdings Corp (XRX) has a current Price-to-Book (P/B) ratio of 0.44. Compared to its 3-year average P/B ratio of 0.71 , the current P/B ratio is approximately -37.35% higher. Relative to its 5-year average P/B ratio of 0.73, the current P/B ratio is about -39.21% higher. Xerox Holdings Corp (XRX) has a Forward Free Cash Flow (FCF) yield of approximately 67.53%. Compared to its 3-year average FCF yield of 29.15%, the current FCF yield is approximately 131.65% lower. Relative to its 5-year average FCF yield of 23.28% , the current FCF yield is about 190.12% lower.

0.44

P/B

Median3y

0.71

Median5y

0.73

67.53

FCF Yield

Median3y

29.15

Median5y

23.28

Competitors Valuation Multiple

The average P/S ratio for XRX's competitors is 1.70, providing a benchmark for relative valuation. Xerox Holdings Corp Corp (XRX) exhibits a P/S ratio of 0.06, which is -96.24% above the industry average. Given its robust revenue growth of -0.13%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of XRX decreased by 64.82% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -0.05 to -0.33.

The secondary factor is the Revenue Growth, contributed -0.13%to the performance.

Overall, the performance of XRX in the past 1 year is driven by P/E Change. Which is more unsustainable.

-0.13%

1.58B → 1.58B

Revenue Growth

-690.35%

1.14 → -6.73

Margin Expansion

625.66%

-0.05 → -0.33

P/E Change

-64.82%