Xero (ASX:XRO) Tariff Resilience Score: 8/10 (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 Tariff Resilience Score?

Xero ASX:XRO +1.77% 76 Tariff Resilience Score is 8 as of Jun. 28, 2026. GuruFocus rates ASX:XRO with a GF Score™ of 76/100 and a GF Value™ of A$195.57 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 2,813 Software companies, Xero ranks better than 96.05% on this metric.

Xero has the Tariff Resilience Score of 8, which implies that the company might have Highly Resilient.

Xero has Xero Ltd, a software company, has minimal exposure to tariffs due to its digital product offerings. Its operations are largely unaffected by physical goods trade, providing high resilience. Historical impacts from tariffs are negligible.

Tariff Resilience Score is a ranking system developed by GuruFocus to measure a company's exposure to international trade tariffs, rated on a scale from 0 to 10. It takes into account key factors such as global supply chain dependencies, manufacturing locations versus sales markets, import / export balance and percentage of revenue, and more.

The company's exposure to international trade tariffs based on these criteria:

1. Global supply chain dependencies
2. Manufacturing locations versus sales markets
3. Import/export balance and percentage of revenue
4. Historical impact from previous tariff changes
5. Available mitigation strategies (alternative suppliers, pricing power)
6. Industry-specific tariff exemptions or vulnerabilities

Based on the research, GuruFocus believes Xero might have Highly Resilient.

Xero  (ASX:XRO) Tariff Resilience Score Explanation

The Tariff Resilience Score ranges from 0 to 10, with 10 as the most resilient. GuruFocus divided Moat Score into following 3 categories:

Tariff Resilience Score Resilience Level
7 - 10Highly Resilient
4 - 6Average Resilient
0 - 3Highly Vulnerable

Xero Tariff Resilience Score Related Terms

ASX:XRO vs UBER, SHOP, CRM: Tariff Resilience Score Comparison

For the Software - Application subindustry, Xero's Tariff Resilience Score, along with its competitors' market caps and Tariff Resilience Score 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 Tariff Resilience Score vs Software Industry

For the Software industry and Technology sector, Xero's Tariff Resilience Score distribution charts can be found below:

* The bar in red indicates where Xero's Tariff Resilience Score falls into.


ASX:XRO
76GF Score
Xero Ltd ASX:XRO
Tariff Resilience Score is just one metric. See GF Score™, valuation, warning signs, and more.
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What does a Tariff Resilience Score of 8 mean?
Xero (ASX:XRO) has a Tariff Resilience Score of 8 as of Jun. 28, 2026. Tariff Score is a ranking system developed by GuruFocus to measure a company's exposure to international trade tariffs, rated on a scale from 0 to 10. It takes into account key factors such as global supply chain dependencies, manufacturing locations versus sales markets, import / export balance and percentage of revenue, and more. According to the industry distribution chart, Xero ranks #111 out of 2813 companies in the Software industry, placing it in the top 3.9%.
Is Xero's Tariff Resilience Score too high?
Xero's current Tariff Resilience Score is 8. Based on the distribution chart, Xero ranks #111 out of 2813 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Xero has a GF Score™ of 76/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Xero's Tariff Resilience Score compare to UBER and SHOP?
According to the Software industry distribution chart, Xero ranks #111 out of 2813 companies for Tariff Resilience Score. This places Xero in the top 4% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Tariff Resilience Score for a Software company?
A good Tariff Resilience Score depends on the Software industry context. However, Tariff Resilience Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Tariff Resilience Score mean?
A high Tariff Resilience Score can signal that a stock is expensive relative to its fundamentals. Tariff Score is a ranking system developed by GuruFocus to measure a company's exposure to international trade tariffs, rated on a scale from 0 to 10. It takes into account key factors such as global supply chain dependencies, manufacturing locations versus sales markets, import / export balance and percentage of revenue, and more. Xero's current Tariff Resilience Score is 8. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xero stock overvalued right now?
Based on GuruFocus' analysis, Xero (ASX:XRO) is currently considered Possible Value Trap. The stock's GF Value™ is A$195.57, compared to a current price of A$69.05 — trading 64.7% below its estimated fair value. The current Tariff Resilience Score is 8. Xero's overall GF Score™ is 76/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Tariff Resilience Score calculated?
Tariff Resilience Score is calculated from a company's financial statements. For Xero (ASX:XRO), the current Tariff Resilience Score is 8 as of Jun. 28, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

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:

  • Tariff Resilience Score: 8
  • 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

Tariff Resilience Score 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