XERO LIMITED (XRO)
Share Price Analysis and Chart

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XRO

XRO - XERO LIMITED

FNArena Sector : Accountancy
Year End: March
GICS Industry Group : Software & Services
Debt/EBITDA: 2.07
Index: ASX50 | ASX100 | ASX200 | ASX300 | ALL-ORDS | ALL-TECH

Xero Ltd is a New Zealand software company providing cloud-based accounting software platforms to small and medium sized businesses. Xero has over two million subscribers. Founded in 2006 the company listed in 2012 and has since expanded into Australia, the UK and the US.

LAST PRICE CHANGE +/- CHANGE % VOLUME

$161.34

10 Sep
2025

1.590

OPEN

$160.11

1.00%

HIGH

$162.32

506,405

LOW

$160.04

TARGET
$213.167 32.1% upside
Franking for last dividend paid out: 0%
OTHER COMPANIES IN THE SAME SECTOR
RKN .
FNARENA'S MARKET CONSENSUS FORECASTS
XRO: 1
Title FY26
Forecast		 FY27
Forecast
EPS (cps) 195.3 xxx
DPS (cps) 0.0 xxx
EPS Growth N/A xxx
DPS Growth N/A xxx
PE Ratio 83.1 xxx
Dividend Yield 0.0% xxx
Div Pay Ratio(%) N/A xxx
This company reports in NZD.
All estimates have been converted into AUD by FNArena at present FX values.

Dividend yield today if purchased 3 years ago: 0.00%

DIVIDEND YIELD CALCULATOR

Dividend Yield Today On Last Actual Payout :

 0.00

Estimated Dividend Growth
(Average Of Past Three Years)

  %

Amount Invested

 $ 

Tell Me The Dividend After This Many Years
Past performance is no guarantee for the future. Investors should take into account that heavy swings in share price or exceptional circumstances (a la 2009) can have a significant impact on short term calculations and averages
HISTORICAL DATA ARE ALL IN AUD
Copyright © 2025 FactSet UK Limited. All rights reserved
Title 202020212022202320242025
EPS Basic xxxxxxxxxxxxxxx135.8
DPS All xxxxxxxxxxxxxxx0.0
Sales/Revenue xxxxxxxxxxxxxxx1,914.0 M
Book Value Per Share xxxxxxxxxxxxxxx1,299.3
Net Operating Cash Flow xxxxxxxxxxxxxxx738.9 M
Net Profit Margin xxxxxxxxxxxxxxx10.83 %

EPS Basic

DPS All

Sales/Revenue

Book Value Per Share

Net Operating Cash Flow

Net Profit Margin

Title 202020212022202320242025
Return on Capital Employed xxxxxxxxxxxxxxx12.67 %
Return on Invested Capital xxxxxxxxxxxxxxx9.30 %
Return on Assets xxxxxxxxxxxxxxx6.13 %
Return on Equity xxxxxxxxxxxxxxx12.67 %
Return on Total Capital xxxxxxxxxxxxxxx11.75 %
Free Cash Flow ex dividends xxxxxxxxxxxxxxx726.9 M

Return on Capital Employed

Return on Invested Capital

Return on Assets

Return on Equity

Return on Total Capital

Free Cash Flow ex dividends

Title 202020212022202320242025
Short-Term Debt xxxxxxxxxxxxxxx1,133 M
Long Term Debt xxxxxxxxxxxxxxx83 M
Total Debt xxxxxxxxxxxxxxx1,217 M
Goodwill - Gross xxxxxxxxxxxxxxx369 M
Cash & Equivalents - Generic xxxxxxxxxxxxxxx2,118 M
Price To Book Value xxxxxxxxxxxxxxx11.91

Short-Term Debt

Long Term Debt

Total Debt

Goodwill - Gross

Cash & Equivalents - Generic

Price To Book Value

Title 202020212022202320242025
Capex xxxxxxxxxxxxxxx275.9 M
Capex % of Sales xxxxxxxxxxxxxxx14.41 %
Cost of Goods Sold xxxxxxxxxxxxxxx459 M
Selling, General & Admin. Exp & Other xxxxxxxxxxxxxxx1,126 M
Research & Development xxxxxxxxxxxxxxx354 M
Investments - Total xxxxxxxxxxxxxxx519 M

Capex

Capex % of Sales

Cost of Goods Sold

Selling, General & Admin. Exp & Other

Research & Development

Investments - Total

EXPERT VIEWS
Display All Commentary

Sentiment Indicator

0.9

No. Of Recommendations

6
BROKER DATE RATING RECOMMENDATION TARGET PRICE % TO REACH TARGET COMMENTARY

Ord Minnett

xx/xx/xxxx

1

xxxxxxx xx xxx xxxx xxxxxxxxxx

$xx.xx

xx.xx%

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Morgan Stanley

xx/xx/xxxx

1

xxxxxxxxxx

$xx.xx

xx.xx%

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Citi

xx/xx/xxxx

1

xxx

$xx.xx

xx.xx%

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Morgans

27/06/2025

2

Accumulate

$215.00

33.26%

Morgans highlights the acquisition of US payments business, Melio, for -US$2.5bn will be earnings dilutive in the short term as the acquired business is loss-making.

The medium-term prospects are more positive with the addition of compelling digital payments and accounting.

With the company's research inferring over 60% of Xero's North American customers wanting both accounting and accounts payable combined, Melio will facilitate the desired outcome, the analyst explains.

The initial earnings forecast analysis suggests Melio will be EPS dilutive to Xero for the next two years and positive in three years' time.

No change to the broker's earnings forecasts at this stage. No change to Accumulate rating and $2.15 target price.

FORECAST
Morgans forecasts a full year FY26 dividend of 0.00 cents and EPS of 165.12 cents.
Morgans forecasts a full year FY27 dividend of 0.00 cents and EPS of 212.55 cents.

Macquarie

xx/xx/xxxx

1

xxxxxxxxxx

$xx.xx

xx.xx%

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UBS

xx/xx/xxxx

1

xxx

$xx.xx

xx.xx%

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Access Stockbroker Research History >
EXTRA COVERAGE
Display All Commentary

No. Of Recommendations

2

Please note: unlike Broker Call Report, BC Extra is not updated daily. The info you see might not be the latest. FNArena does its best to update ASAP.

BROKER DATE RATING RECOMMENDATION TARGET PRICE % TO REACH TARGET COMMENTARY

Wilsons

xx/xx/xxxx

1

xxxxxxxxxx

$xx.xx

xx.xx%

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Jarden

30/06/2025

2

Overweight

$207.00

28.30%

Jarden considers Xero’s acquisition of US payments platform Melio for -US$2.5bn as strategically sound, allowing management to integrate payments and accounting while accelerating US growth.

Jarden estimates the deal will result in approximately NZ$4bn of goodwill, prompting questions about whether building similar functionality in-house could have been materially more cost-effective.

Management expects group revenue to more than double to NZ$4.2bn by FY28, with Jarden flagging a 19% year-on-year revenue compound annual growth rate (CAGR) and a Rule of 40 outcome of 39.3%.

The broker downgrades FY26 and FY28 EPS by -14% and -8%, respectively, due to dilution, but upgrades FY30 forecasts by around 5% on synergy assumptions.

Jarden raises its target price to $207 from $197 and retains an Overweight rating.

FORECAST
Jarden forecasts a full year FY26 dividend of 0.00 cents and EPS of 172.14 cents.
Jarden forecasts a full year FY27 dividend of 0.00 cents and EPS of 187.56 cents.
Access Extra Coverage Research History >

XRO STOCK CHART

FNArena News on XRO

1
Australian Broker Call *Extra* Edition – Sep 08, 2025

Sep 08 2025 - Daily Market Reports
2
Weekly Ratings, Targets, Forecast Changes – 05-09-25

Sep 08 2025 - Weekly Reports
3
In Brief: Xero, Collins Foods, Macquarie Technology

Sep 05 2025 - Weekly Reports
4
Rudi’s View: Catalyst Metals, Dexus, Neuren, Stockland, ResMed & More

Sep 04 2025 - Rudi's View
5
Rudi’s View: Early August Signals & Observations

Aug 20 2025 - Rudi's View

Latest Accountancy News

1
Xero’s Bold US Play

Jun 27 2025 - Australia
2
Xero: Maximising Long-Term Value Creation

May 20 2025 - Australia
3
Xero: The Pause That Refreshes

Jan 23 2025 - Technicals
4
Xero’s Growing Cash Balance In Focus

May 28 2024 - Australia
5
Treasure Chest: Xero

May 16 2024 - Treasure Chest
6
Reckon’s New Lease Of Life

Feb 15 2024 - Small Caps
7
Xero Sees The Value Of Profit

Mar 14 2023 - Australia
8
Xero In Focus

Feb 28 2023 - Technicals
9
Too Low For Xero?

May 16 2022 - Australia
10
Treasure Chest: Will Xero’s Star Start To Wane?

Jul 27 2021 - Treasure Chest