0047 GMT - Xero's first-half result announcement could help settle a dispute between the cloud-accounting software provider's bulls and bears, Morgan Stanley analysts write in a note. They think that investor focus will fall on the Australia-listed company's full-year cost ratio guidance, which currently sits at 73%. The MS analysts explain that bulls think that this is conservative for a company lifting prices and growing subscriber numbers, while bears see costs rising from increased U.S. marketing. MS is overweight on the stock but the analysts reckon there is a strong chance of share-price volatility from this week's 1H announcement. MS has an A$170.00 target price on the stock, which is up 0.2% at A$159.96. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
November 11, 2024 19:47 ET (00:47 GMT)
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