Xerox Holdings Corporation

DB:XER2 Stock Report

Market Cap: €945.8m

Xerox Holdings Valuation

Is XER2 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of XER2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€15.91
Fair Value
52.1% undervalued intrinsic discount
4
Number of Analysts

Below Fair Value: XER2 (€7.62) is trading below our estimate of fair value (€15.91)

Significantly Below Fair Value: XER2 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for XER2?

Key metric: As XER2 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for XER2. This is calculated by dividing XER2's market cap by their current revenue.
What is XER2's PS Ratio?
PS Ratio0.2x
SalesUS$6.22b
Market CapUS$976.81m

Price to Sales Ratio vs Peers

How does XER2's PS Ratio compare to its peers?

The above table shows the PS ratio for XER2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.8x
JY0 ParTec
9.6x32.5%€516.0m
HYI Hyrican Informationssysteme
1xn/a€25.2m
C3RY Cherry
0.2x2.0%€26.7m
M3BK Pyramid
0.2x8.5%€16.6m
XER2 Xerox Holdings
0.2x1.4%€976.8m

Price-To-Sales vs Peers: XER2 is good value based on its Price-To-Sales Ratio (0.2x) compared to the peer average (2.8x).

Price to Sales Ratio vs Industry

How does XER2's PS Ratio compare vs other companies in the European Tech Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
XER2 0.2xIndustry Avg. 0.6xNo. of Companies8PS00.61.21.82.43+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: XER2 is good value based on its Price-To-Sales Ratio (0.2x) compared to the European Tech industry average (0.6x).

Price to Sales Ratio vs Fair Ratio

What is XER2's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

XER2 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.2x
Fair PS Ratio0.5x

Price-To-Sales vs Fair Ratio: XER2 is good value based on its Price-To-Sales Ratio (0.2x) compared to the estimated Fair Price-To-Sales Ratio (0.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst XER2 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€7.62
€9.21
+20.9%
33.4%€14.48€6.80n/a4
Feb ’26€8.23
€9.19
+11.7%
33.4%€14.45€6.79n/a4
Jan ’26€8.80
€7.37
-16.3%
6.1%€7.69€6.73n/a3
Dec ’25€8.40
€7.13
-15.2%
5.6%€7.36€6.44n/a4
Nov ’25€7.56
€7.83
+3.5%
17.6%€10.13€6.45n/a4
Oct ’25€9.15
€10.10
+10.4%
10.2%€11.80€9.08n/a4
Sep ’25€10.19
€10.10
-0.9%
10.2%€11.80€9.08n/a4
Aug ’25€9.58
€10.94
+14.2%
14.1%€12.89€9.21n/a4
Jul ’25€10.70
€13.26
+23.9%
13.7%€15.87€10.27n/a5
Jun ’25€12.86
€13.98
+8.8%
8.2%€15.85€13.05n/a4
May ’25€12.47
€14.18
+13.7%
7.7%€15.86€13.06n/a5
Apr ’25€16.31
€14.94
-8.4%
12.1%€17.54€12.83n/a5
Mar ’25€17.75
€14.94
-15.8%
12.1%€17.54€12.83n/a5
Feb ’25€16.93
€14.94
-11.8%
12.1%€17.54€12.83€8.235
Jan ’25€16.48
€12.66
-23.2%
10.1%€14.49€10.87€8.805
Dec ’24€13.00
€13.04
+0.3%
10.7%€15.14€11.35€8.405
Nov ’24€12.14
€13.04
+7.4%
10.7%€15.14€11.35€7.565
Oct ’24€14.78
€13.27
-10.2%
10.5%€14.97€12.07€9.155
Sep ’24€15.26
€12.70
-16.8%
13.0%€14.51€9.98€10.196
Aug ’24€14.23
€12.70
-10.8%
13.0%€14.51€9.98€9.586
Jul ’24€13.62
€12.54
-8.0%
18.9%€15.41€8.16€10.706
Jun ’24€13.00
€12.54
-3.5%
18.9%€15.41€8.16€12.866
May ’24€13.96
€12.54
-10.2%
18.9%€15.41€8.16€12.476
Apr ’24€14.00
€12.57
-10.2%
18.0%€15.83€9.31€16.316
Mar ’24€15.53
€12.14
-21.8%
19.6%€15.91€9.36€17.757
Feb ’24€15.16
€11.96
-21.1%
19.6%€15.67€9.22€16.937
Analyst Price Target
Consensus Narrative from 4 Analysts
€9.20
Fair Value
17.2% undervalued intrinsic discount
4
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/08 18:06
End of Day Share Price 2025/02/07 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Xerox Holdings Corporation is covered by 20 analysts. 4 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
James KelleherArgus Research Company
Ishan MajumdarBaptista Research
Benjamin ReitzesBarclays