Xerox cut its 2026 adjusted operating income outlook by up to $130 million on October 29, three months after raising it by $105 million, partly based on an IEEPA tariff-receivable benefit. Investors who suffered losses may have legal rights.

NEW YORK, Oct. 29, 2026 /PRNewswire/ — Xerox Holdings Corporation (NASDAQ: XRX) shares fell sharply on October 29, 2026, after the Company cut its full-year 2026 adjusted operating income outlook to $450 million to $475 million. The revised outlook was as much as $130 million below the range announced in July, which included a $105 million pretax benefit from recognizing IEEPA tariff receivables. If you bought Xerox stock and are now holding losses, this affects you directly. Shareholders who lost money are encouraged to report their XRX losses here or contact Joseph E. Levi, Esq. via email at jlevi@levikorsinsky.com or by telephone at (212) 363-7500.

On July 30, 2026, Chief Financial Officer Chuck Butler said adjusted operating income was “now expected in the range of $555 million to $605 million, up $105 million from the prior outlook, primarily because of the recognition of IEEPA tariff receivables in Q2.”

Xerox’s Form 10-Q, submitted to the SEC on August 6, 2026, recorded a $105 million reduction to Cost of Sales in connection with the tariff receivables. The entry was disclosed under Note 12 — Debt. It increased reported operating income by $105 million, while related financing costs were recorded elsewhere over time. The revised outlook now sits $105 million to $130 million below the July range.

Levi & Korsinsky is investigating whether Xerox may not have adequately disclosed how its tariff-receivable accounting shaped reported results and guidance. The investigation also concerns whether investors may have claims arising from potential securities law violations.

Xerox investors who lost money can have their Xerox losses reviewed today or call (212) 363-7500.

WHY LEVI & KORSINSKY — Ranked in ISS Securities Class Action Services’ Top 50 Report for seven consecutive years, Levi & Korsinsky, LLP is a nationally recognized leader in shareholder rights litigation. With a team of over 70 professionals, the firm has recovered hundreds of millions of dollars for investors.

Frequently Asked Questions About the XRX Investigation

Q: Who is eligible to participate in the XRX investigation?A: Investors who purchased XRX stock or securities and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses — not on whether you still hold the shares.

Q: Which statements are being investigated as potentially misleading?A: The investigation concerns whether Xerox made materially false or misleading statements or omissions regarding its recognition of $105 million in IEEPA tariff receivables and the resulting benefit to its full-year 2026 adjusted operating income outlook. On October 29, 2026, Xerox cut its outlook to $450 million–$475 million, down from $555 million–$605 million announced in July. The investigation will examine whether the Company adequately disclosed the nature and implications of the tariff-related accounting benefit before the guidance reduction.

Q: What do XRX investors need to do right now?A: Investors may gather brokerage records showing purchase dates, share quantities, and prices paid. Submit your information for a no-cost, no-obligation evaluation of your potential recovery. No immediate action is required to remain eligible to participate in the investigation.

Q: What documents do I need to participate?A: Brokerage statements or trade confirmations showing purchase dates, share quantities, prices paid, and any subsequent sale dates and prices.

Q: What if my XRX losses are small — is it still worth contacting a lawyer?A: Yes. There is no minimum loss amount required to participate in the investigation.

Q: Do I need to go to court or give testimony?A: No. Participating in the investigation does not require court appearances or depositions. If legal action is later pursued, the overwhelming majority of affected investors never appear in court either.

Q: What does it cost me to participate?A: There is no upfront cost to submit your information and review whether you may be eligible to recover. Should you choose to participate in any resulting action, these matters are generally handled on a contingency basis, with any attorneys’ fees and expenses subject to court approval.

CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
jlevi@levikorsinsky.com
Tel: (212) 363-7500
Fax: (212) 363-7171

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SOURCE Levi & Korsinsky, LLP