Originally Posted by
mikeybycrikey
Rod Drury, is that you?
I think unless Xero can gain any sort of traction in the US, an SP of $80 isn't going to happen. Not in the next couple of years anyway. The share price as it stands is pricing in a lot of future growth. The company has a good track record of delivering 80% growth per year but that will tail off.
And the share price growth for a growing company is going to tail off before the sales growth. Share price is a leading indicator indicator of sentiment.
I'd say $80 in 4 years maybe, if everything goes well. Two years is dreaming, especially if US sales carry on as poorly as they have.