Xerox stock price forecast

Although Xerox Holdings Corporation (NASDAQ:XRX) is not currently in an ideal situation, its cost-cutting efforts, steady dividend payments, and positive cash flow guidance offer some reassurance in these tough times. For FY24, the company anticipates generating around $550 million in free cash flow and at least $600 million in operating cash flow, which is favorable news for dividend investors. In the most recent quarter, its free cash flow jumped to $115 million, from $88 million in the prior year period. Despite not increasing its dividends since 2017, the company has consistently paid them and managed to maintain these payouts even during the pandemic, which is notable given its financial challenges. The company currently offers a quarterly dividend of $0.25 per share. The stock’s dividend on August 12 came in at 10.3%. It is among the best dividend stocks on our list with an upside potential of over 44%. Chief Executive Officer Steve Bandrowczak attributed the company’s resilience in a volatile market to the early benefits of its Reinvention strategy, a multi-year transformation plan aimed at repositioning Xerox as a vertically integrated provider of workflow and technology solutions. A cornerstone of this plan is the acquisition of Lexmark, which Bandrowczak described as “an important milestone” in expanding Xerox’s IT and digital services capabilities. Xerox’s leverage ratio has improved, easing investor concerns. Analysts see a modestly upward-sloping Xerox stock price forecast as debt servicing efficiency boosts EPS outlook for 2024–