Xerox Shares Plunge 1.36% Amid Waning Sector Confidence, Macroeconomic Pressures Weigh

Xerox (XRX) shares fell 1.36% in Monday trading, marking their second consecutive day of declines, with a two-day cumulative drop of 1.89%. The stock touched an intraday low of $2.72, its weakest level since April 2025, reflecting heightened investor skepticism amid prolonged market pressures.

The recent selloff underscores a broader trend of waning confidence in the document technology sector, where Xerox operates in a highly competitive landscape. While no immediate corporate developments or earnings reports have triggered the decline, the stock’s performance aligns with broader market anxieties over long-term profitability in legacy technology spaces. Analysts note that Xerox’s reliance on traditional print solutions and its slower transition to digital services remain structural headwinds.

Investor sentiment has also been dampened by macroeconomic uncertainties, including rising borrowing costs and subdued corporate spending. Xerox’s business model, which includes long-term service contracts and equipment leasing, faces margin pressures as clients delay capital expenditures. The stock’s technical breakdown to multi-year lows suggests a potential re-rating of its valuation assumptions, with traders increasingly factoring in prolonged industry challenges.

With no material catalysts on the horizon, the near-term outlook for XRX remains clouded. Institutional investors have shown limited interest in defensive plays, while retail trading activity remains muted. The stock’s trajectory will likely hinge on Xerox’s ability to demonstrate progress in its digital transformation initiatives, though such efforts have yet to translate into measurable revenue growth or market share gains.