0010 GMT - Xero's bull at RBC Capital Markets thinks the accounting-software provider is heading in the right direction despite its weak local performance and slightly soft guidance. Analyst Jackson Lee tells clients in a note that annual customer growth in ASX-listed Xero's Australia and New Zealand markets was weaker than expected, while the midpoint of its FY 2027 revenue guidance is about 3% lower than consensus. However, the big picture is brighter in Lee's view. He points to strong U.S. momentum and the expansion of Xero's AI capabilities. RBC has a last-published outperform rating and A$155.00 target price on the stock, which is up 1.1% at A$81.86. (stuart.condie@wsj.com)

(END) Dow Jones Newswires

May 13, 2026 20:10 ET (00:10 GMT)

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