Is the Xero (ASX:XRO) share price good value? 26 September 2021

www.fool.com.au
3 min read
fairly easy
Is the Xero Limited (ASX:XRO) share price good value? The ASX tech share is currently trading at around $150.
Could Xero shares be good value with it currently at around $150?

Could the Xero Limited (ASX: XRO) share price be good value as it's currently at around $150?

The last couple of weeks has seen a fair bit of volatility for Xero shares, but that may just be normal for the share market. Looking at the price a month ago, it hasn't changed much. But over the last six months the Xero share price has risen around 18%.

What brokers think of the Xero share price

Different brokers have different ratings on the cloud accounting software business.

For example, Credit Suisse rates Xero as a buy with a price target of $160. The broker reckons that Xero's average revenue per user (ARPU) can increase in FY22 after the ASX tech share recently increased the subscription fee for subscribers. It also thinks that Xero can continue to grow its subscriber numbers at a good rate.

However, there are also brokers that think the opposite about the Xero share price. Analysts at Macquarie Group Ltd (ASX: MQG) rate Xero as a sell with a price target of $130. That suggests Macquarie believes that Xero shares could fell by more than 10% over the next 12…
Tristan Harrison
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