Xero Limited

OTCPK:XROL.F Stock Report

Market Cap: US$12.8b

Xero Valuation

Is XROL.F undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of XROL.F when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: XROL.F ($73.7) is trading above our estimate of fair value ($47.47)

Significantly Below Fair Value: XROL.F is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for XROL.F?

Key metric: As XROL.F is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for XROL.F. This is calculated by dividing XROL.F's market cap by their current earnings.
What is XROL.F's PE Ratio?
PE Ratio82.5x
EarningsNZ$267.51m
Market CapNZ$22.07b

Price to Earnings Ratio vs Peers

How does XROL.F's PE Ratio compare to its peers?

The above table shows the PE ratio for XROL.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average45.5x
DT Dynatrace
26.3x6.09%US$13.4b
NTNX Nutanix
64.2x32.54%US$14.2b
BSY Bentley Systems
45.6x16.14%US$12.3b
DOCU DocuSign
46x14.35%US$13.9b
XROL.F Xero
82.5x24.25%US$19.1b

Price-To-Earnings vs Peers: XROL.F is expensive based on its Price-To-Earnings Ratio (82.5x) compared to the peer average (45.5x).

Price to Earnings Ratio vs Industry

How does XROL.F's PE Ratio compare vs other companies in the US Software Industry?

13 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MARA MARA Holdings
3.9x-101.18%US$3.63b
BTBT Bit Digital
4.7x-118.99%US$650.33m
XNET Xunlei
0.4xn/aUS$450.85m
EXOD Exodus Movement
4x-32.22%US$437.80m
XROL.F 82.5xIndustry Avg. 31.5xNo. of Companies13PE020406080100+
13 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: XROL.F is expensive based on its Price-To-Earnings Ratio (82.5x) compared to the US Software industry average (31.5x).

Price to Earnings Ratio vs Fair Ratio

What is XROL.F's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

XROL.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio82.5x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate XROL.F's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst XROL.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$73.70
US$118.99
+61.46%
19.10%US$151.02US$65.58n/a15
Dec ’26US$78.10
US$118.99
+52.36%
19.10%US$151.02US$65.58n/a15
Nov ’26US$92.31
US$125.76
+36.23%
15.80%US$153.21US$63.85n/a15
Oct ’26US$103.81
US$128.26
+23.55%
16.41%US$165.28US$64.91n/a15
Sep ’26n/a
US$129.71
0%
16.27%US$152.54US$64.89n/a14
Aug ’26US$114.91
US$131.11
+14.10%
16.27%US$154.20US$65.60n/a14
Jul ’26US$113.96
US$133.52
+17.16%
16.02%US$157.78US$67.12n/a14
Jun ’26US$117.60
US$127.86
+8.72%
14.64%US$145.36US$60.95n/a16
May ’26n/a
US$119.23
0%
14.58%US$142.99US$59.73n/a16
Apr ’26n/a
US$117.31
0%
14.69%US$138.54US$57.87n/a16
Mar ’26US$118.88
US$116.60
-1.92%
14.81%US$138.02US$57.06n/a16
Feb ’26US$107.66
US$115.51
+7.29%
14.80%US$136.75US$56.54n/a16
Jan ’26n/a
US$116.03
0%
14.48%US$137.31US$56.77n/a16
Dec ’25US$108.40
US$119.53
+10.26%
14.48%US$141.44US$58.48US$78.1016
Nov ’25n/a
US$103.84
0%
16.15%US$130.97US$55.82US$92.3116
Oct ’25US$100.15
US$106.88
+6.72%
16.10%US$137.92US$58.78US$103.8116
Sep ’25US$95.22
US$103.71
+8.91%
14.51%US$124.91US$58.36n/a16
Aug ’25n/a
US$99.76
0%
14.55%US$120.02US$56.08US$114.9116
Jul ’25US$88.40
US$98.22
+11.11%
14.98%US$121.39US$55.98US$113.9616
Jun ’25US$88.00
US$97.87
+11.22%
13.95%US$119.67US$56.35US$117.6016
May ’25n/a
US$84.44
0%
17.24%US$101.45US$49.28n/a16
Apr ’25US$85.20
US$85.04
-0.19%
16.82%US$102.01US$50.05n/a16
Mar ’25US$87.40
US$81.56
-6.68%
17.80%US$103.72US$50.93US$118.8816
Feb ’25US$72.03
US$78.06
+8.38%
14.45%US$93.43US$51.69US$107.6616
Jan ’25US$75.20
US$80.28
+6.75%
14.73%US$96.35US$53.30n/a16
Dec ’24US$68.00
US$76.12
+11.95%
18.50%US$93.72US$42.15US$108.4017
US$119.19
Fair Value
38.2% undervalued intrinsic discount
15
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/12/30 12:49
End of Day Share Price 2025/12/24 00:00
Earnings2025/09/30
Annual Earnings2025/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Xero Limited is covered by 25 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Eric ChoiBarrenjoey Markets Pty Limited
Aryan NoroziBarrenjoey Markets Pty Limited
Nicholas McGarrigleBarrenjoey Markets Pty Limited