Xero (ASX:XRO) Margin of Safety % (DCF Dividends Based): N/A (As of Jun. 28, 2026)


ASX:XRO Xero Ltd ASX:XRO
76 GF Score
Price A$69.05
GF Value A$195.57
Valuation Possible Value Trap
! 7 Warning Signs
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What is Xero Margin of Safety % (DCF Dividends Based)?

Margin of Safety % (DCF Dividends Based) = (Intrinsic Value: DCF (Dividends Based) - Current Price) / Intrinsic Value: DCF (Dividends Based).

Note: Discounted Dividend model is only suitable for companies who have a consistant distribution history with more than 5 years. If the company's dividends does not remain steady over a long period, results may not be accurate due to the low consistency. The model is also only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, the data will not be stored into our database.

Xero's Predictability Rank is 1-Star. Thus, the DCF related results in the screener and portfolio will appear as zero and Margin of Safety % (DCF Dividends Based) is not calculated.

ASX:XRO vs CRM, SHOP, UBER: Margin of Safety % (DCF Dividends Based) Comparison

For the Software - Application subindustry, Xero's Margin of Safety % (DCF Dividends Based), along with its competitors' market caps and Margin of Safety % (DCF Dividends Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Xero Margin of Safety % (DCF Dividends Based) vs Software Industry

For the Software industry and Technology sector, Xero's Margin of Safety % (DCF Dividends Based) distribution charts can be found below:

* The bar in red indicates where Xero's Margin of Safety % (DCF Dividends Based) falls into.


ASX:XRO
76GF Score
Xero Ltd ASX:XRO
Margin of Safety % (DCF Dividends Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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Is Xero (ASX:XRO) Overvalued in 2026?

Based on GuruFocus' analysis, Xero stock appears to be undervalued. The current stock price of A$69.05 is trading 64.7% below its estimated GF Value™ of A$195.57. GuruFocus considers Xero to be Possible Value Trap.

Key valuation signals for ASX:XRO:

  • Margin of Safety % (DCF Dividends Based): N/A
  • GF Value™: A$195.57 vs. price of A$69.05 (64.7% below fair value)
  • GF Score™: 76/100 with 7 warning signs

No single metric tells the full story. See the ASX:XRO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Xero Business Description

Other Exchanges XROLF:USA0XE:Germany
Address 19-23 Taranaki Street, Te Aro, Wellington, NTL, NZL, 6011
Xero is a technology company originating from New Zealand, providing cloud-based accounting software, primarily for small and midsized enterprises, or SMEs, and accounting practices. As a first mover in the space for cloud-based accounting software, Xero has grown quickly to achieve dominant market share in New Zealand and Australia, displacing legacy providers. Xero has also expanded beyond its home region toward other English-speaking countries, primarily the UK and the US.
76GF Score

Get the complete analysis for ASX:XRO

Margin of Safety % (DCF Dividends Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$69.05
Price
A$195.57
GF Value