S&P Capital IQ Maintains its STRONG BUY Rating on Xerox, Target Price Reduced

October 14 00:00 2011

NEW YORK, October 14 (RainbowNewsLine.com) – Analyst Dylan Cathers of S&P Capital IQ maintains his STRONG BUY rating on the shares of Xerox Corp (NYSE: XRX). The target price has been reduced from $14 to $10.

Analyst Dylan Cathers, in a research note published yesterday mentions that the company’s shares are attractive based on the valuation. The EPS estimates for 2011 & 12 have been reduced from$1.13 to $1.10 and from $1.35 to $1.22, respectively, to reflect the effect of current economic scenario on revenues and gains of the company in the forthcoming quarters. The analyst expects gains from the service side of the company, and kept the revenue growth rate for 2011 at 6%, and lowers the 2012 estimate to 4%.