Xero Remains a Key Pick Despite Margin Risk -- Market Talk

Dow Jones

Jan 28, 2025

0341 GMT - Cloud-accounting software provider Xero remains a key pick among Australia-listed tech and entertainment stocks at Goldman Sachs despite risk that its 2025 margins fall short of analysts' expectations. GS analysts see a step-up in U.S. investment posing some risk to short-term margins, but tell clients in a note that they are increasingly positive on this opportunity behind the expenditure. They are positive on Xero's outlook for the current year, saying that accelerating product development and release is supporting subscriber and revenue-per-user growth both domestically and internationally. GS has a buy rating and A$201.00 target price on the stock, which is up 1.9% A$175.86. (stuart.condie@wsj.com)

(END) Dow Jones Newswires

January 27, 2025 22:41 ET (03:41 GMT)

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GS analysts see a step-up in U.S. investment posing some risk to short-term margins, but tell clients in a note that they are increasingly positive on this opportunity behind the expenditure. They are positive on Xero's outlook for the current year, saying that accelerating product development and release is supporting subscriber and revenue-per-user growth both domestically and internationally. GS has a buy rating and A$201.00 target price on the stock, which is up 1.9% A$175.86. (stuart.condie@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  January 27, 2025 22:41 ET (03:41 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Xero Remains a Key Pick Despite Margin Risk -- Market Talk</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nXero Remains a Key Pick Despite Margin Risk -- Market Talk\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2025-01-28 11:41</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     0341 GMT - Cloud-accounting software provider Xero remains a key pick among Australia-listed tech and entertainment stocks at Goldman Sachs despite risk that its 2025 margins fall short of analysts' expectations. GS analysts see a step-up in U.S. investment posing some risk to short-term margins, but tell clients in a note that they are increasingly positive on this opportunity behind the expenditure. They are positive on Xero's outlook for the current year, saying that accelerating product development and release is supporting subscriber and revenue-per-user growth both domestically and internationally. GS has a buy rating and A$201.00 target price on the stock, which is up 1.9% A$175.86. (stuart.condie@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  January 27, 2025 22:41 ET (03:41 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"IE0004091025.USD","symbol_name":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2506554497","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2506554497","pubTimestamp":1738035660,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"0341 GMT - Cloud-accounting software provider Xero remains a key pick among Australia-listed tech and entertainment stocks at Goldman Sachs despite risk that its 2025 margins fall short of analysts' expectations. 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GS analysts see a step-up in U.S. investment posing some risk to short-term margins, but tell clients in a note that they are increasingly positive on this opportunity behind the expenditure. They are positive on Xero's outlook for the current year, saying that accelerating product development and release is supporting subscriber and revenue-per-user growth both domestically and internationally. GS has a buy rating and A$201.00 target price on the stock, which is up 1.9% A$175.86. (stuart.condie@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  January 27, 2025 22:41 ET (03:41 GMT)\n\n\n  Copyright (c) 2025 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":true,"code":"91000000","status":"200"}}}