When I hear the name Lexmark (LXK), I cringe a little. I haven't owned a printer, in fact, haven't used a printer in what feels like years now. This tends to be the trend, and as a result, LXK is now a turnaround story.
LXK is orchestrating a full blown exit of the inkjet business and planning to refocus on higher margin software businesses. We think this transition to higher margins will translate into a smaller than expected EPS reduction. As well, with a market cap that's at $1.9 billion, LXK could be ripe for a buyout.
Calm before the storm
LXK shook up the printer industry decades ago. LXK introduced the first color printer for less...
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