Xero's Fiscal Year 2028 Targets Seem 'Acheivable' After Fiscal Year 2027 Guidance, Says Jefferies

MT Newswires Live

05/14

Xero's (ASX:XRO) guidance for fiscal year 2027 provides "some comfort" that the company's fiscal year 2028 targets are achievable, according to a Thursday Jefferies note.

The investment firm noted that the company's growth in the US business is accelerating on both an organic basis and a pro-forma basis, including the contribution from the unit Melio.

Further clarity will be sought on the level of investment required to support growth, Jefferies added.

Jefferies kept a hold rating on Xero with a price target of AU$84.80.

The company's shares fell 8% in recent Thursday trade.

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