Xro - xero

[Everwood]

There is a positive article about Xero on the Forbes website.
http://www.forbes.com/sites/groupthi...ccounting-fun/

It’s good to see they are now getting more exposure in the U.S.

[brucea]

Several years ago I took a punt on a few speculative shares - Bis Technologies (great product but poor marketing), WDT (liked the "green" potential), Charlies ( liked the owners), Rakon (seemed promising but - sigh) and finally Xero (liked the concept and the backers). I stuck with all these investments and for a long time the total value of the shares was 30% below the original investment. However recently the portfolio is 50% up due to the rise of Xero shares. I will hold on to my Xero shares as I consider the company has a huge future. I have had so called blue chip shares in the past but have found them boring. I would never recommend any speculative shares however as was embarrassed a few years back for encouraging a friend to buy a small parcel of Blis shares and we know how they have performed! Such a shame with Blis as I thought they had a greater potential than even Xero!

[Toasty]

Now a billion dollar company ... and still to return a profit ... T.O. talks must be underway !!!

I hope so. I am not good with speculative stocks. Messes with my blood pressure. A resolution would take all the uncertainty away.

[Microsloth]

Winkler on a winner at Xero...........

http://www.smh.com.au/business/winkl...315-2g5sx.html

[Dentie]

interesting calculation that the current sp gives each customer an intrinsic value of $9000 each when in reality it averages more like $350 p.a.! priced in indeed. xro is going to need to maintain that phenomenal growth or were going to see some major pain soon since a takeover is not going to happen. anyone thinking of buying in right now is insane.

Oh don't worry moosie, the myopic believers are that entrenched by all the whoopla ... they'll be back again tomorrow at 10am with chq books open scrambling to get in while they can. And where did they get the funds from????....my guess is from what has dripped back from their last investments ...ie - finance companies and other second tier lenders etc.

It would be interesting to know out of all those who have clambered to get XRO shares from about say, $??? onwards - how many have done the type of background research and analysis that most informed investors would normally do? And, given from what I've read on here, I qualify my comments based on just how many investors/traders/founders couldn't get their original investment capital off the XRO table quickly enough. Are they true believer's? I certainly know what their answer would be ..... risk management. However, it is very easy to invest when you're using somebody else's dosh.... if it works great - but if not, who cares eh? In the meantime, the XRO casino moves on ......... roll the dice please.

And no, I am not a XRO hater. Like more and more commentators & posters are saying, I just do not think the business performance justifies the SP and it hasn't done for a long time. Hopefully it will in the future, but for now, it is gambling - plain and simple. It just happens to be XRO in this case...it could be any business.

[Stranger_Danger]

Surely you're not suggesting someone would buy Xero shares with borrowed money?

That would be pure madness. The management have disclosed - from day one - that this is a risky venture (executed wonderfully well, so far) and I doubt they'd be a big fan of buying the shares with borrowed money.

That isn't because the company is bad or the shares are overvalued - you just wouldn't buy a non income producing stake in a loss making company with borrowed money.

If you did, then frankly, I have no sympathy for you and ask only that you don't ask for yet another Government bailout or something!

[lastmoa]

Yeah, attributing the meteoric rise of Xero's SP to the opportunity investors are realising in the SASS model sure spells signs that others (eg, DIL) should also see comparable rises. The subscription models for good SASS coy's that have a good product (that's gaining traction) is a good space to be. Additionally beneficial that many are only just cottoning on to all this now.

[Blendy]

Thiel's $24 million and US hedge fund Matrix Capital Management's $58 million > Toasty, Blendy, and Turmeric

oh i don't know - with our powers combined.... oh wait, I don't think we come anywhere near multi millions of dollars

@Dentie - I've been trading Xero since the mid-$2 and sold out completely over the last few weeks between $8.50 and $10. It's not that I couldn't get my investment capital off the table quick enough as you say, it's just that while I think Xero is a great company, I felt the price was pretty outrageous and I might as well take advantage of that and cash up. I fully expect to buy back in if/when there is a sensible correction. Hope that helps!

[CJ]

@Dentie - I've been trading Xero since the mid-$2 and sold out completely over the last few weeks between $8.50 and $10. I fully expect to buy back in if/when there is a sensible correction. Hope that helps!

Given you started selling at $8.50 you need a big correction, or does the fact it got upto $10.50 mean your buy in price is above that. Do you have a ball park buy in range.

Disc: when I sold at $7.75, my buy back was target $6.50. It never got there and I missed the bus. Haven't recalculated and am waiting to see US customer numbers before I do so.

[Blendy]

I haven't done any recent calculations to be honest, and will probably reinvest into something else (don't know what yet) while I wait to see what happens with this. I would be aiming for something in the $7's, but who knows - like you say it might never get there and I could be out for good. Even so, I am very pleased with my selling decisions.