UPDATE: JP Morgan Upgrades Xerox

In a report released Monday, JP Morgan analyst Tien-tsin Huang upgraded Xerox (NYSE: XRX) from Underweight to Neutral.

Analysts at JP Morgan believe Xerox's government healthcare business concerns are diminishing, which should influence higher service margins. Additional downside protection is given by Xerox's dividends and buybacks program, making seven percent of Xerox's market cap this year.