For the first quarter the company posted earnings of 27 cents a share, beating FactSet estimates of 24 cents a share by 3 cents. Revenue fell 1.5% to $5.21 billion, while analysts expected revenue of $5.17 billion.
Looking to the second quarter Xerox now expects earnings of between 25 cents and 27 cents a share, below analysts' expected 28 cents a share. For the full year the company now expects earnings of between $1.07 and $1.13 a share, down from between $1.10 and $1.16 a share. Analysts expect earnings of $1.13 a share for the year.
Xerox also raised its 2014 buyback forecast to at least $700 million from at least $500 million. The company spent $275 million on buybacks in the first quarter.
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TheStreet Ratings team rates XEROX CORP as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate XEROX CORP (XRX) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."