If – like me – you own shares of XERO FPO NZ (ASX: XRO) this next graph will put a smile on your dial…
Click to enlarge. Source: Google Finance.
Up 9% today alone, shares in the cloud-computing accounting software giant have rocketed up 20.6% in the past week.
Barring the announcements that two Xero directors have been granted stock options earlier in the week, no company specific news has been issued within the last five market days which could explain the sudden rise.
As a result the New Zealand Securities Exchange issued a "please explain" notice to Xero to which it confirmed it was in compliance with its continuous disclosure obligations.
Should you buy Xero?
Over the past year, shares of the $2.1 billion cloud-computing accounting software provider have fallen 50%. Given the growth Xero continues to experience in its home markets of New Zealand and Australia, as well as in the larger markets of the UK and USA; Xero is worthy of a second look. Whilst it is yet to make a profit, technology companies such as Xero have a knack of catching investors by surprise with their significant earnings growth potential.
I for one don't want to miss out.
